Memecoins Taking a Lead in Crypto Market Recovery: Shiba Inu & Dogecoin in Focus

Key Takeaways:

• Potential Breakout for Meme Coins: Dogecoin (DOGE) and Shiba Inu (SHIB) are showing signs of a potential breakout rally as the market sentiment shifts, with both coins forming bullish patterns.
• Dogecoin’s Bullish Setup: DOGE price is trading within a falling wedge pattern, with a recent price surge of 12.46%. A breakout could see DOGE challenging resistance at $0.12 and possibly reaching $0.20.
• Shiba Inu’s Recovery Path: SHIB price is also forming a falling wedge and has already recovered 27.90% from its recent low. A breakout could drive SHIB’s price towards $0.000023 or even $0.000030.
• Technical Indicators Favor Bulls: Both DOGE and SHIB have shown bullish MACD crossovers, indicating that momentum is shifting in favor of the bulls, suggesting the possibility of further price increases.
• Caution Advised Despite Optimism: While technical indicators and patterns suggest a potential uptrend, the inherent volatility of meme coins means investors should approach with caution and closely monitor market developments.

After a week marked by volatility in Bitcoin price and altcoin markets, there’s renewed optimism for a bullish trend, particularly for meme coins like Dogecoin (DOGE) and Shiba Inu (SHIB). With Bitcoin price stabilizing near $59,000, DOGE price and SHIB price are showing signs of potential breakout rallies. This raises the question: could August see these popular meme coins double in value?

DOGE Price Prepares for Breakout

Dogecoin, known for its unpredictable price movements, has recently been trading under significant bearish pressure. The formation of a falling wedge pattern indicates that DOGE may be gearing up for a bullish reversal. Last week’s crash marked the end of a 30% downtrend, characterized by ten consecutive bearish candles. DOGE found support at the lower trendline of this wedge pattern, sparking hope among traders.

On Thursday, DOGE experienced a significant price jump of 12.46%, bringing its value to $0.10460, despite a slight 3.07% intraday pullback. This surge represents a 29.74% recovery from the recent low of $0.08049, known as “Black Monday.” Technical indicators also support this bullish outlook. The Moving Average Convergence Divergence (MACD) has shown a bullish crossover, suggesting that DOGE might be on the brink of a breakout. If this momentum continues, DOGE could face resistance at $0.12, with the potential to reach as high as $0.20.

Read On: Dogecoin Price Prediction

Will SHIB Hit $0.000030?

Shiba Inu (SHIB), the second-largest meme coin, is also forming a falling wedge pattern similar to DOGE price, reflecting the recent bearish trend. Despite struggling to build upward momentum, SHIB price has been consolidating below the $0.000015 level. However, a shift in market sentiment suggests that a bullish phase might be on the horizon for Shiba Inu price.

The underlying bullish sentiment is supported by a MACD bullish crossover, indicating potential upward momentum. SHIB price has already begun to recover, climbing 27.90% from its recent low of $0.00001078. Should this trend continue, SHIB could potentially break above its overhead trendline. According to the Pivot Point Standard, SHIB’s bullish trend could drive its price to the $0.000023 or even the $0.000030 mark in the near future.

Know More: Shiba Inu Price Prediction

The Road Ahead for Meme Coins

As DOGE and SHIB gear up for potential breakout rallies, the broader question remains whether these meme coins can sustain their momentum and deliver significant returns. The crypto market has been notoriously volatile, especially for assets like DOGE and SHIB that are driven as much by community sentiment as by technical fundamentals.

For DOGE price, the key will be breaking past the $0.12 resistance level and sustaining its upward momentum towards $0.20. If the bulls can maintain control, this could mark the beginning of a broader bull cycle. Similarly, for SHIB price, breaking above the $0.000015 level and sustaining gains towards $0.000030 will be critical. Both coins are showing promising signs, but as always in the crypto world, caution is advised.

In conclusion, the current technical setup for both DOGE and SHIB suggests a potential for significant price increases in the near future. With key resistance levels in sight, the next few days could be pivotal for these meme coins. Investors and traders will need to keep a close eye on the market to capitalize on any potential breakout opportunities.

Source: Coinpedia