Top Memecoins Struggling to Recover: What’s Next for Shiba Inu (SHIB) & Dogecoin (DOGE)

Crypto Market Analysis

The cryptocurrency market has witnessed a significant sell-off, starting with Bitcoin's peak of $108,000. Top memecoins Dogecoin (DOGE) and Shiba Inu (SHIB) had already declined prior to the Bitcoin crash, indicating market participants' exit from the memecoin sector.

Dogecoin (DOGE) Price Analysis

After a severe decline, Dogecoin's price plunged early this week. The mid-week drop dragged DOGE below $0.26 from its high of $0.32. Bulls have pushed prices back above $0.31, but the uptrend faces bearish sentiment.

DOGE's weekly chart shows continued bearish influence. However, the chart and RSI resemble a previous pattern. If bulls maintain support at $0.33 until week's end, an upswing may be imminent. Failure to do so could lead to a decline below $0.20. The ADX indicates bearishness and a possible bearish divergence.

Despite bearish pressure, a close above $0.35 could negate the bearish trend.

Shiba Inu (SHIB) Price Analysis

SHIB has broken below its rising wedge, leading to a sharp decline of over 30%. While a rebound is possible, technical indicators point toward a broader correction, pushing prices below $0.00002.

The MACD displays a decline in buying volume, suggesting a potential bearish crossover. However, the Ichimoku cloud is becoming bullish, signaling an end to the bearish trend. A bullish crossover between the base and conversion lines could invalidate the bearish outlook.

SHIB remains in a decisive phase, and the weekend's trading activity will significantly impact its price action in the coming year.