While the prices of Dogecoin (DOGE) and Shiba Inu (SHIB) have struggled to hold their previous gains, Pepe (PEPE) has been on a massive rally over the last two weeks. This has prompted demands for a “Meme coin season” and the likelihood that PEPE may join DOGE and SHIB to form a “Big Three” of meme currencies.
The short-term six-hour time frame technical analysis yields varied results for the DOGE price. On the negative side, the price fell through an ascending support line on April 21.
This indicates that the preceding rising trend has come to an end. Furthermore, the meme coin is trading below the $0.082 resistance level.
On the positive side, the Dogecoin price has formed a triple bottom, a bullish sign. Most of the time, the triple bottom leads to upward momentum. A break over the $0.082 resistance level would confirm this.
Furthermore, the Relative Strength Index (RSI) has generated a bullish divergence (green line), confirming the bullish pattern’s validity. A positive divergence happens when a fall in momentum does not coincide with a price decrease.
As a result, whether the DOGE price falls below $0.078 or rises over $0.082 will define the future trend. The former might cause a decrease to $0.070, while the latter will almost certainly cause a rise to $0.100.
On April 20, the Shiba Inu (SHIB) price fell from an upward parallel channel. This meant the prior structure was no longer viable, and a new downward trend had started. The Shiba Inu price now clings to the $0.0000100 horizontal support region. This is the last level of support before $0.0000088, which hasn’t been hit since January.
If the SHIB price falls, it will most likely hit the $0.00000880 support level, representing a 12% decline from the current price. If a bounce occurs, SHIB may test the prior channel’s support line around $0.0000115.
The next 24 hours will most likely determine which scenario is most feasible. PEPE has been the clear leader of the unofficial meme coin season, with profits of 980% in only 12 days. On May 1, the price reached a new all-time high of $0.00000148.
Although the price is near to the high, the RSI has created a strong bearish divergence (green line). This implies that a gain in momentum does not sustain price increases and often results in severe negative fluctuations.
If the price falls, the nearest support level will be $0.00000081, generated by the 0.5 Fib retracement support level. According to the Fibonacci retracement theory, following a significant price advance in one direction, the price will partly retrace or return to a previous price level before continuing in its original path.
This technique may also be utilized to forecast likely future rising moves. With that in mind, if the upward trend continues, the next target for the high will be $0.00000187. The 1.61 external Fib retracement of the most recent dip leads to the objective.
Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.