DOGE and SHIB Come Under Pressure on News of SEC Win Over LBRY
- It was a bearish Monday session, with dogecoin (DOGE) seeing red for the fifth session from six.
- The Twitter (TWTR) pause on the development of the crypto wallet continued to weigh on DOGE as holder numbers hit reverse.
- However, the technical indicators remained bullish, with DOGE investors needing a return to $0.15 to retarget $0.20.
On Monday, dogecoin (DOGE) fell by 3.07%. Following a 7.79% slide on Sunday, DOGE ended the day at $0.1112. Notably, DOGE avoided sub-$0.10 for the tenth consecutive session while extending the losing streak to three sessions.
A bullish start to the day saw DOGE rise to an early morning high of $0.1190. Coming up short of the First Major Resistance Level (R1) at $0.1243, DOGE slid to a late low of $0.1070. DOGE briefly fell through the First Major Support Level (S1) at $0.1085 before ending the day at $0.1112.
Shiba inu coin (SHIB) slipped by 0.34% on Monday. Following a 4.98% loss on Sunday, SHIB ended the day at $0.00001180.
Recovering from a bearish morning, SHIB rose to a late high of $0.00001211. Coming up short of the First Major Resistance Level (R1) at $0.00001258, SHIB slid to a late low of $0.00001150. However, steering clear of the First Major Support Level (S1) at $0.00001143, SHIB ended the session at $0.00001180.
The bearish sentiment from the broader crypto market weighed on DOGE and SHIB. Investor angst ahead of US reports this week tested buyer appetite. US economic indicators, including the US CPI report for October, retail sales, and consumer sentiment, will provide direction.
The Monday losses came despite a bullish NASDAQ Composite Index session. Market sentiment towards the US Mid-Terms provided NASDAQ support.
However, Twitter (TWTR) and Elon Musk news remained the focal point for DOGE and SHIB investors.
The bearish market reaction to the news of Twitter hitting pause on plans to build a crypto wallet continued to weigh on DOGE buyer appetite.
Reports of advertisers jumping ship remained DOGE negative. A fall in advertising revenue raise the prospects of sharp falls in revenue streams that could dampen the bullish expectation of DOGE adoption.
The latest DOGE holder numbers reflected the shift in sentiment, which supported the price reversal from last week’s high of $0.1587.
While Twitter and Elon Musk news remain key drivers, the SEC win against LBRY sent DOGE and SHIB into the red this morning.
Dogecoin (DOGE) Price Action
At the time of writing, DOGE was down 3.86% to $0.1069. A mixed start to the day saw DOGE rise to an early high of $0.1125 before sliding to a low of $0.1050.
DOGE tested the First Major Support Level (S1) at $0.1058 early on.
DOGE needs to move through the $0.1124 pivot to target the First Major Resistance Level (R1) at $0.1178 and the Monday high of $0.1190. A return to $0.1150 would signal a bullish day ahead. However, Elon Musk, Twitter news, and broader crypto market sentiment need to be DOGE-friendly.
In the event of an extended afternoon breakout session, the bulls could take a run at the Second Major Resistance Level (R2) at $0.1244 and $0.13. The Third Major Resistance Level (R3) sits at $0.1124.
Failure to move through the pivot ($0.1124) would leave the First Major Support Level (S1) at $0.1058 in play. However, barring another extended sell-off, DOGE should avoid sub-$0.10. The Second Major Support Level (S2) at $0.1004 should limit the downside.
The Third Major Support Level (S3) sits at $0.0884.
The EMAs sent a bullish signal, with DOGE sitting above the 100-day EMA, currently at $0.1064. The 50-day EMA narrowed to the 100-day EMA, while the 100-day EMA widened from the 200-day EMA. The price signals were mixed.
A move through R1 ($0.1178) and the 50-day EMA ($0.1180) would support a run at R2 ($0.1244) and $0.13. However, a fall through the 100-day EMA ($0.1064) and S1 ($0.1058) would bring S2 ($0.1004) into view.
Shiba Inu Coin (SHIB) Price Action
At the time of writing, SHIB was down 4.32% to $0.00001129. A mixed start to the day saw SHIB rise to an early high of $0.00001189 before sliding to a low of $0.00001106.
SHIB fell through the First Major Support Level (S1) at $0.00001150 and briefly through the Second Major Support Level (S2) at $0.00001119.
SHIB needs to move through S1 and the $0.00001180 pivot to target the First Major Resistance Level (R1) at $0.00001211 and the Monday high of $0.00001211. A return to $0.000012 would signal a bullish afternoon session.
In case of an extended rally, SHIB would likely test the Second Major Resistance Level (R2) at $0.00001241 and resistance at $0.00001250. The Third Major Resistance Level (R3) sits at $0.00001302.
Failure to move through S1 and the pivot would leave the Second Major Support Level (S1) at $0.00001119 in play. Barring an extended sell-off, SHIB should avoid sub-$0.000011. Support at $0.000011 should limit the downside.
The Third Major Support Level (S3) sits at $0.00001058.
The EMAs send a bearish signal, with SHIB sitting below the 200-day EMA, currently at $0.00001144. This morning, the 50-day EMA closed in on the 100-day EMA, with the 100-day EMA narrowing to the 200-day EMA. The signals were bearish.
A SHIB move through the 200-day EMA and the 100-day EMA would support a run at the 50-day EMA ($0.00001209) and R1 ($0.00001211). However, failure to move through the 200-day EMA ($0.00001144) and S1 ($0.00001150) would leave S2 ($0.00001119) in view.