During the recent upsurge, meme coins and layer1 altcoins showed significant increases, but this growth was brief. Bitcoin (BTC) retracted below the $64,000 mark again, resulting in a decline for most altcoins. Despite a few exceptions, AVAX and SHIB recorded a 4% downturn.

Overview

Despite notable occurrences this year, Avalanche, a prominent smart contract platform, witnessed modest progress. In contrast to Solana, AVAX's recovery fell short of expectations. Presently, AVAX is valued at $36.88. Avalanche faced resistance in the range between its 20-day EMA ($40) and $42, hindering its upward trajectory.

The decline in BTC value indicates a strong downward trend for AVAX. Conversely, apprehensions about a potential consolidation phase for BTC lasting weeks or months have dampened the risk appetite. Remarkably, the leading cryptocurrency has been confined below the $69,000 mark since April.

Should the weakness in AVAX persist, and BTC fails to undergo a notable turnaround, prices may retreat to supportive ranges between $32 and $27. A breach below this zone could suggest a more substantial decline towards $20. Conversely, surpassing the $42 mark could reclaim the breakout level at $50, fostering an interest in reaching a three-digit price target.

Forecast for Shiba Coin (SHIB)

Shiba Inu breached the downtrend line on April 21 but struggled to surpass the critical resistance of $0.000028. Bulls may remain restricted within a narrow range unless they can traverse the 50-day SMA ($0.000028). Overcoming this significant region is pivotal for reversing the short-term downward trend.

In the event of surpassing the resistance level, a potential rise towards the $0.000033 and $0.000039 thresholds is plausible. However, the risks posed by BTC price declines may prompt tests of support levels. In such scenarios, the initial support might be encountered at $0.000020. It is worth noting that the volatile nature of cryptocurrencies often leads to unforeseen outcomes, and chart analyses do not conclusively predict the future.