The Euro (EUR) is inching higher against the US Dollar (USD) on Monday, December 9th, demonstrating a tentative recovery after finding support at a key technical level. This upward move highlights the importance of the 20-day Simple Moving Average (SMA) for the EUR/USD pair, suggesting a cautiously optimistic short-term outlook.
Technical Indicators Hint at Building Momentum
While the EUR/USD remains below the psychologically significant 1.0600 level, technical indicators are flashing signs of potential improvement. The Relative Strength Index (RSI) is currently trending upwards, indicating a recovery in momentum. However, the RSI remains below the neutral 50 mark, suggesting a cautious approach as the recovery is still in its early stages.
The Moving Average Convergence Divergence (MACD) indicator adds further weight to the potential for a bullish resurgence. The MACD is printing rising green bars, signifying building bullish momentum. However, a decisive breakout above resistance is still needed to confirm a clear uptrend.
Key Levels to Watch: Bulls Aim for 1.0600, Bears Eye Support
For the EUR/USD to extend its gains, traders will be closely watching the 1.0600 resistance level. A successful break above this level would open up further upside potential for the Euro. Conversely, a break below the crucial support level at the 20-day SMA, currently hovering around 1.0550, could trigger renewed selling pressure. If this support level fails to hold, the EUR/USD could revisit the 1.0530 level and potentially even test the psychological barrier of 1.0500.
Despite the tentative recovery, overall market sentiment surrounding the EUR/USD pair remains cautious. The ongoing geopolitical tensions and economic uncertainties continue to weigh on the Euro. Investors will be monitoring upcoming economic data releases and central bank decisions from both the Eurozone and the United States for further direction.
Perpetuals, Made In USA coins, and meme coins are the top three crypto narratives to watch for the second week of March. Perpetuals tokens like HYPE and WOO are down over 12%, but strong trading activity and high revenue suggest a potential rebound.
Made In USA coins, including PI, ADA, and HBAR, have suffered major losses amid broader market turmoil, but the recovery could be near if market conditions stabilize. Meme coins have been hit hard, but their history of sharp rebounds suggests they could lead the next rally if sentiment shifts.
Perpetuals
Perpetuals coins appear to be setting up for a rebound after a rough week, with HYPE and WOO both down more than 12% in the last seven days. Perpetuals platforms are exchanges that allow traders to buy and sell perpetual futures contracts, which have no expiration date.
These platforms use a funding mechanism to keep contract prices aligned with the spot market while enabling traders to take long or short positions with leverage.
Despite the recent downturn in some perpetuals tokens, the sector continues to see strong activity, with high trading volumes and fees generated across key platforms.
Biggest Coins by Market Cap (Perpetuals). Source: CoinGecko.
However, this level of dominance also suggests that the market has room for competitors to emerge and challenge its position. Arkham, for instance, has surged 14% in the last 24 hours. That signals that some traders are betting on alternative projects within the perpetuals ecosystem.
Overall, these trends make perpetuals one of the must-watch crypto narratives of the week.
Made In USA Coins
The biggest Made In USA coins have all suffered significant losses in the past week, with PI dropping 22.6%. ADA and HBAR both down 18.9%. Made In USA coins refer to cryptocurrencies that have strong ties to the United States, whether through their founding team or company headquarters.
This category includes projects that often attract regulatory scrutiny or benefit from US-based institutional backing. The latest downturn aligns with broader market weakness, as both the crypto and stock markets have been hit hard in the past 24 hours.
Biggest Made In USA Coins by Market Cap. Source: CoinGecko.
The US stock market saw a massive $4 trillion wipeout following Trump’s push for new tariffs. Given the scale of this correction, a potential rebound could be on the horizon if investors view the recent dip as an overreaction. That could positively impact crypto, driving a new surge.
Historically, sharp declines in both crypto and equities have been followed by strong recoveries, especially when macroeconomic fears subside.
This volatility has been evident in the past week, as the biggest meme coins have taken a heavy hit. Dogecoin (DOGE), the largest meme coin by market cap, has dropped more than 17% in the last seven days.
TRUMP is down over 14%, and PEPE and BONK have both lost more than 10% during the same period.
Biggest Meme Coins by Market Cap. Source: CoinGecko.
However, if the crypto market stages a rebound this week, meme coins could see some of the strongest recoveries. Historically, these assets tend to outperform in fast-moving uptrends due to their speculative nature and the rapid inflow of retail interest.
The last major surges in meme coins occurred after broader market rebounds reignited hype and aggressive buying activity.
If sentiment shifts and liquidity returns, DOGE, TRUMP, PEPE, and BONK could quickly reclaim lost ground. That could potentially lead to another wave of explosive gains in the meme coin sector.
