XLM Eyes Its Largest Crash in Three Years, Japanese Government Skeptical of Bitcoin Reserve, 67 Trillion SHIB Level About to Disappear: Crypto News Digest by U.Today

U.Today - U.Today presents the top three news stories over the past day.

XRP rival XLM's price could be on verge of biggest crash since 2021 if Bollinger Bands pattern is validated

The Stellar token, XLM, is experiencing a downward trend. Recent analysis using the Bollinger Bands indicates that the upper band was reached and even broken at $0.6374, while the median, represented by the 20-day moving average, stands at $0.21. A similar picture was observed back in 2021; at that time, the price of XLM peaked at $0.797 and then dropped by 48.73% within a single week. With XLM already witnessing a 40% decrease over the past three weeks, the possibility of a further 45% dip looms, although its future performance will largely depend on broader market trends rather than solely on historical patterns. At writing time, XLM is changing hands at $0.3535, down 2.07% over the past 24 hours, per CoinMarketCap.

Japanese government skeptical of Bitcoin reserve

Wu Blockchain has recently reported, citing CoinPost, that the Japanese government "has expressed a cautious stance" regarding the adoption of Bitcoin as a reserve currency. This stance has emerged despite the urging of Satoshi Hamada, a member of the House of Councillors, to adopt a similar approach to that of the U.S. However, Prime Minister Shigeru Ishiba has stated that the government lacks detailed information on U.S. actions regarding Bitcoin reserves. According to Wu Blockchain's post, the reason stems from the fact that the crypto assets are not falling into the category of foreign exchange, coupled with the need to ensure the security and liquidity of foreign exchange reserves.

67 trillion Shiba Inu (SHIB) level about to disappear

According to the latest on-chain data, Shiba Inu currently finds itself at a pivotal point, facing significant challenges as the market remains bearish. The asset is struggling to maintain crucial support levels, particularly the 50 EMA, and is currently trading near $0.00002164, with the 200 EMA being now dangerously close to where SHIB is trading. A loss of these support levels could lead to a substantial decline, possibly dropping to $0.0000204 or lower. Adding to the alarming story is a sharp decrease of large transaction volumes from institutional investors. Panic-selling may exacerbate the situation if key support levels are breached, although there remains a glimmer of hope for recovery if SHIB can bounce back from the 200 EMA and attract speculative buying.

This content was originally published on U.Today