Dogecoin And Shiba Inu Face Rising Bearish Threat: Will DOGE And SHIB Price Lose Momentum?

Following the recent market crash that drove Bitcoin’s price toward a $53K low, meme coins experienced a relatively minor impact. Nonetheless, over the last seven days, the meme coin market capitalization has seen a substantial decrease. This has led to a declining interest from whales in leading meme coins such as Shiba Inu and Dogecoin, which may challenge their buying dominance in the coming hours. 

SHIB And DOGE Prices Challenge Buyers

In the past 24 hours, traders on both sides have triggered significant liquidations for Shiba Inu and Dogecoin. According to Coinglass, Dogecoin experienced a total liquidation close to $710,000, with approximately $400,000 coming from the liquidation of short positions.

Meanwhile, Shiba Inu saw a total liquidation of $216,000, with long positions accounting for about $122,000 of this. These movements have led to increased volatility in the prices of both SHIB and DOGE recently.

According to IntoTheBlock data, there has been a noticeable decrease in whale activity for both Dogecoin and Shiba Inu. The large transaction count for Dogecoin fell from a high of 1,210 to 788 transactions. Similarly, the number of large transactions involving Shiba Inu dropped from a peak of 199 to just 84 transactions.

This declining interest from whales has weakened the market sentiment for DOGE and SHIB, increasing selling confidence which could potentially intensify in the coming hours.

Dogecoin Price Analysis

Dogecoin’s recent rally failed to reach the crucial $0.12 breakdown level, showing that bears are actively selling off during even slight price increases. However, buyers are aiming for a surge above the immediate Fib channel in the coming hours. As of writing, DOGE price trades at $0.107, declining over 0.2% in the last 24 hours.

Bulls are likely to strongly defend the price range between $0.10 and $0.08, as breaching this zone could send the DOGE/USDT pair dropping to $0.06. A deeper fall could significantly delay the onset of the next rally.

Should the price recover from its current position, bears are expected to resist any upward movement at $0.12. However, if buyers can push past this resistance, the pair might advance towards the 50-day SMA at $0.14, which would indicate a potential shift in the short-term trend.

Shiba Inu Price Analysis

Shiba Inu recently climbed above the bearish pattern and attempted for a surge above $0.0000177. However, sellers strongly defended a surge above that level, maintaining this momentum has proven challenging for the bulls. As of writing, SHIB price trades at $0.00001637, surging over 0.06% in the last 24 hours.

Bears are now attempting to pull the price back into the bearish zone. Should they succeed, it would indicate that the recent surge might have been misleading, potentially trapping the price around $0.000012 for an extended period.

Conversely, if the price rebounds from its current position and surpasses $0.000019, this would suggest buying interest at lower levels. Such a move could propel the SHIB/USDT pair toward $0.000030.

Read Also: Crypto Market at a Glance: Bitcoin Surges Above $59,000 & Ethereum Above $3,100, While Pepe Tumbles Down