- Dogecoin and Shiba Inu, two popular memecoins, have experienced significant losses amid a bearish market trend. However, on-chain signals suggest a potential rebound may be on the horizon.
- Despite the market downturn, both altcoins show promising signs of recovery, with Shiba Inu’s robust ecosystem and fundamentals providing a strong foundation for growth.
- As the broader crypto market remains volatile, the future performance of these memecoins will largely depend on market sentiment and their ability to maintain their current momentum.
Amid a bearish crypto market, Dogecoin and Shiba Inu show signs of potential recovery. On-chain signals suggest a possible uptick, with Shiba Inu’s robust ecosystem providing a strong foundation for growth.
Dogecoin and Shiba Inu: A Tale of Two Memecoins
The broader crypto market’s volatility has significantly impacted memecoins, particularly Dogecoin (DOGE) and Shiba Inu (SHIB). Over the past week, Shiba Inu’s price has dropped by 10.65%, reaching a low of $0.000022. Dogecoin has also suffered, with its price decreasing by over 11% to a weekly low of $0.142. Despite this downturn, on-chain technical data suggests a potential rebound, with the possibility of a 100% rally not being ruled out.
Recovery on the Horizon?
Dogecoin is currently showing signs of being mildly oversold on the daily chart, with its Relative Strength Index (RSI) at 45, slightly up from 34 recorded on May 1. This increase in selling pressure suggests a potential bullish trend change. However, predicting a solo bullish rally for DOGE is challenging due to the asset’s high volatility. The broader market sentiment will play a crucial role in sustaining the mild uptick in Open Interest (OI), which currently stands at $645.6 million, up by 0.87% at the time of writing.
Shiba Inu’s Potential for Growth
Shiba Inu bulls have a lot to prove to both themselves and the memecoin ecosystem. Despite the recent downturn, Shiba Inu has shown impressive growth, with a Year-to-Date (YTD) increase of over 116%. The token’s RSI has dropped to 42, suggesting a potential trend change confirmed by the Moving Average Convergence Divergence (MACD). Unlike Dogecoin, Shiba Inu has many fundamentals driving its growth, including its increasing burn rate and widespread adoption by mainstream payment platforms like Bitpay.
Conclusion
Despite the bearish market trend, both Dogecoin and Shiba Inu show promising signs of recovery. While Dogecoin’s future performance will largely depend on market sentiment, Shiba Inu’s robust ecosystem and fundamentals provide a strong foundation for potential growth. However, as with any investment, it’s crucial to do your research and understand the risks involved.
