DOGE and a Return to $0.15 in the Hands of Elon Musk and US Stats

Key Insights:

• It was a bearish Wednesday session, with dogecoin (DOGE) and shiba inu coin (SHIB) among the worst performers from the top 100.
• Tweets and the Twitter (TWTR) acquisition news took a back seat as investors responded to the FOMC Rate Statement and Fed Chair Powell’s press conference.
• However, the technical indicators are bullish, with DOGE investors eying a return to $0.20.

On Wednesday, dogecoin (DOGE) slid by 10.16%. Partially reversing a 12.03% jump from Tuesday, DOGE ended the day at $0.1277. Notably, DOGE avoided sub-$0.10 for the fourth time since May.

A bullish start to the day saw DOGE rise to an early high of $0.1480. Coming up short of the First Major Resistance Level (R1) at $0.1591, DOGE slid to a late low of $0.1220. DOGE fell through the First Major Support Level (S1) at $0.1248 before ending the day at $0.1277.

Shiba inu coin (SHIB) slid by 8.33% on Wednesday. Reversing a 3.30% gain from Tuesday, SHIB ended the day at $0.00001177.

Tracking DOGE movements, SHIB rose to an early high of $0.00001296. Coming up short of the First Major Resistance Level (R1) at $0.00001348, SHIB slid to a late low of $0.00001150. SHIB fell through the First Major Support Level (S1) at $0.00001223 and briefly through the Second Major Support Level (S2) at $0.00001163 before ending the day at $0.00001177.

Elon Musk and Twitter (TWTR) news took a back seat on Wednesday, with investors shifting focus to the Fed.

Investor sentiment towards a December Fed pivot and DOGE payments on Twitter delivered price support ahead of Wednesday’s FOMC press conference.

The Fed delivered mixed messages on Wednesday. While the FOMC Statement highlighted a possible policy change, Fed Chair Powell poured iced water on hopes of a Fed pivot. The hawkish commentary sent DOGE and SHIB into the deep red for the session.

Despite Wednesday’s setback, DOGE held onto the number eight rank by market cap, with SHIB at number 13. Further updates from Elon Musk on his plans to incorporate DOGE into Twitter would support a run at $0.20 and a continued climb up the rankings.

However, following the market sensitivity to the Fed, US economic indicators will influence today. The ISM Non-Manufacturing PMI and sub-components for October should have the most influence. A pickup in hiring and prices would justify Powell’s hawkish words.

On Wednesday, the NASDAQ Composite Index fell by 3.36%. We can expect the Index to influence again today.

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was up 3.99% to $0.1328. A mixed start to the day saw DOGE fall to an early low of $0.1265 before rising to a high of $0.1337.

Technical Indicators

DOGE needs to avoid the $0.1325 pivot to target the First Major Resistance Level (R1) at $0.1431 and the Wednesday high of $0.1480. A return to $0.14 would signal another bullish day ahead. However, without any Elon Musk tweets, DOGE will sit in the hands of US economic indicators and the NASDAQ Composite Index.

In the event of an extended afternoon breakout session, the bulls could take a run at the Second Major Resistance Level (R2) at $0.1586 and $0.16. The Third Major Resistance Level (R3) sits at $0.1846.

A fall through the pivot ($0.1325) would bring the First Major Support Level (S1) at $0.1171 into play. However, barring an extended sell-off, DOGE should avoid sub-$0.11 and the Second Major Support Level (S2) at $0.1065.

The EMAs sent a bullish signal, with DOGE sitting above the 50-day EMA, currently at $0.1114. The 50-day EMA pulled away from the 100-day EMA, with the 100-day EMA widening to the 200-day EMA. The price signals were bullish.

Avoiding S1 ($0.1171) and the 50-day EMA ($0.1114) would support a breakout from R1 ($0.1431) and a return to $0.15. However, a fall through S1 ($0.1171) would bring the 50-day EMA ($0.1114) and sub-$0.11 into view. The 200-day EMA sits at $0.08013.

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was up 3.31% to $0.00001216. A bullish start to the day saw SHIB rise from an early low of $0.00001174 to a high of $0.00001229.

Technical Indicators

SHIB needs to avoid the $0.00001208 pivot to target the First Major Resistance Level (R1) at $0.00001265 and the Wednesday high of $0.00001296. A return to $0.00001250 would signal a bullish afternoon session.

In case of an extended rally, SHIB would likely test the Second Major Resistance Level (R2) at $0.00001354 and resistance at $0.000014. The Third Major Resistance Level (R3) sits at $0.00001500.

A fall through the pivot would bring the First Major Support Level (S1) at $0.00001119 into play. Barring an extended sell-off, SHIB should avoid sub-$0.000011 and the Second Major Support Level (S2) at $0.00001062.

The Third Major Support Level (S3) sits at $0.00000916.

The EMAs send a bullish signal, with SHIB sitting above the 50-day EMA, currently at $0.00001186. This morning, the 50-day EMA widened from the 100-day EMA, with the 100-day EMA pulling away from the 200-day EMA. The signals were bullish.

A hold above the 50-day EMA ($0.00001186) would support a SHIB breakout from R1 ($0.00001265) to bring R2 (0.00001354) into view. However, a fall through the 50-day EMA ($0.00001186) would give the bears a run at the 100-day EMA ($0.00001137) and S1 ($0.00001119). The 200-day EMA sits at $0.00001116.