Dogecoin and XRP are positioned at crucial technical levels as trading volumes decline.
Current Situation with Dogecoin
Dogecoin is trading at $0.1704, closely hugging its key support level at $0.17. This support has prevented a steeper decline so far, but chart signals indicate mounting pressure. The asset has been on a downward trend since early June and has not managed to break through the resistance levels on the 50-day and 100-day exponential moving averages.
Declining Trading Volume
Volume levels have steadily declined on the daily chart, a trend that often points to shrinking trader interest. This drop in volume can lead to liquidity gaps, making the token vulnerable to larger moves. Historically, declining volume during bearish phases often signals potential capitulation by investors.
XRP Approaches Breakout
Meanwhile, XRP is exchanging hands at about $2.17 and is developing a symmetrical triangle in its daily timeframe. This consolidation process has been in the making since early June and is nearing the breakout point. The price is slightly above the 200-day MA, acting as support. XRP’s volume has also declined, aligning with the typical behavior of prices within a triangle pattern. The RSI is neutral around 45, indicating an unclear direction for the next move.
At present, both Dogecoin and XRP are showing important technical levels, while the decline in volumes may suggest potential changes in their price dynamics.
