While Bitcoin started the week with a good consolidation that continued throughout the weekend. Besides this, altcoins continue to bleed and have corrected greatly, indicating impending bearish action. Among them, popular ones recorded as the biggest losers of the day meme coin ‘s Dogecoin and Shiba Inu are also included. With Bitcoin price stuck near $27,800, will these tokens test lower support?
Dogecoin (DOGE) Price Analysis
dogecoin experienced a new decline. Moreover, it is testing the important support zone between $0.567 and $0.571 for the third time in 2023. Meme coin price has been trading in a descending triangle since it faced a major rejection in the last quarter of 2022. Now that the price is nearing the top of the bearish formation, the possibility of a major price move seems imminent.
Although technical data does not indicate that the rise will reverse, it is possible to say that the bulls are gaining some strength. The average directional index (ADX), used to determine the strength of the trend, is trying to recover from intermediate lows. This suggests that the rally is closer to gaining momentum. Additionally, it indicates that it could trigger a recovery in the next few hours. The price has reached the liquidity zone. In this context, there is a higher probability of a trend reversal and a move above $0.6 soon.
Shiba Inu (SHIB) Price Analysis
Unlike most of the crypto market, Shiba Inu The price has been maintaining a decreasing trend since the beginning of the year. The price is trading within a falling wedge. This indicates a downward trend in the long term. However, it is possible that strong support at $0.00000648 could prevent the downtrend.
It is believed that in the coming days, the price will continue a steep downward trend. Moreover, there is a view that it will test the lower support near $0.0000065 or below. Since the RSI has already reached oversold levels, it is possible that a reversal at these levels could eventually trigger a significant recovery in SHIB price. As the trade progresses towards the monthly close, the probability of a breakout above the upper resistance increases, reaching levels near $0.000008.