May 3rd Cryptocurrency Market Update: Spotlight on Ethereum (ETH), Ripple (XRP), Cardano (ADA), Shiba Inu (SHIB), and Polkadot (DOT)

Ethereum experienced a significant dip this week, breaking under the $3,000 mark and closing with a 5% loss. This latest downturn has resulted in a lower low, indicating that bears are still dominating the price action. The current support level is at $2,900, a critical point that buyers must protect. If this level fails, the next significant support is expected at $2,500. Ethereum was quickly rejected at the $3,350 resistance in late April, and since then, the price has been on a downward trend. The bias remains bearish, but the hope is that May will bring better news for this cryptocurrency.

Ripple (XRP)

Ripple’s price continues to fluctuate, closing the week with a 1% loss. Despite this relatively small change, volatility was high this week, with the price briefly dropping to 48 cents before rebounding. The resistance is found at 54 cents, a level the price seems unable to break at this time. Therefore, XRP is more likely to move sideways under this key resistance. If sellers return in force, the next key level of support is at 50 cents. While the chart is bearish, there is hope that sellers will become exhausted after their domination in April.

Cardano (ADA)

Cardano was rejected by the resistance at 46 cents and appears to still struggle. The price is in a downtrend and has fallen by 4% this week. If buyers don’t return soon, then ADA may make new lows and approach the key support at 40 cents. If that also falls, then buyers could return at 37 cents where ADA had strong demand in the past. Sell volume has been declining even if the price is falling, which could be an early sign that selling may subside and bulls could be provided with an opportunity to recover some of the recent losses.

Shiba Inu (SHIB)

Shiba Inu lost its support at $0.000025, which has now turned into a resistance. As a result, the price dropped by 11% this week. The most important support on the chart is at $0.000018, and if nothing changes in the current momentum, then this meme coin will likely test this level. SHIB’s correction does not appear to be ending any time soon and may continue well into May. As long as the overall market remains bearish, SHIB will likely follow with lower lows.

Polkadot (DOT)

DOT’s price bounced on the support at $6.3, allowing it to close the week with a 3% price increase. This is impressive considering all the other coins on our list are in red. As long as this key support holds, Polkadot has a good chance to challenge the resistance at $7.6, which has so far stopped any attempt from buyers to move the price higher. DOT has been moving sideways since mid-April, bringing optimism that this downtrend may be coming to an end. To confirm this, buyers have to break the resistance at $7.6.

Conclusion

This week saw a mix of bearish and bullish trends among the top cryptocurrencies. Ethereum, Ripple, Cardano, and Shiba Inu all experienced losses, with Ethereum and Shiba Inu seeing the most significant drops. On the other hand, Polkadot managed to buck the trend with a modest price increase. As we move into May, it will be interesting to see if these trends continue or if the market will experience a reversal. As always, investors are advised to conduct their own research and exercise caution when trading.