DOGE Eyes $0.070 on Twitter Buyout, with SHIB on the Move

Key Insights:

• Dogecoin (DOGE) led the top 100 on Tuesday, with a 9.16% breakout to end the session at $0.06587.
• While finding support from the broader crypto market, news of Elon Musk going ahead with the Twitter buyout delivered the bullish session.
• The technical indicators are turning bullish, suggesting a bearish trend reversal.

On Tuesday, dogecoin (DOGE) surged by 9.16%. Following a 1.77% gain on Monday, DOGE ended the day at $0.06587.

A mixed start to the day saw DOGE fall to an early morning low of $0.05995. Steering clear of the First Major Support Level (S1) at $0.0592, DOGE surged to a late afternoon high of $0.06647. DOGE broke through the day’s Major Resistance Levels to wrap up the day at $0.06587.

Shiba Inu Coin (SHIB) rallied by 3.94% on Tuesday. Following a 2.10% gain on Monday, SHIB ended the day at $0.00001162.

Tracking the broader market, SHIB slipped to an early low of $0.00001109. Steering clear of the First Major Support Level (S1) at $0.0000109, SHIB rallied to a final hour high of $0.00001173.

SHIB broke through the First Major Resistance Level (R1) at $0.0000113 and the Second Major Resistance Level (R2) at $0.0000119 to end the day at $0.00001162.

While finding support from US economic indicators and Fed chatter, Elon Musk delivered the breakout sessions for the pair. On Tuesday, news hit the wires that Elon Musk will go ahead with the original $44 billion Twitter (TWTR) buyout.

What the future holds for DOGE and SHIB vis-à-vis Twitter under the Musk banner remains to be seen. In April, the talk of making DOGE a payment option on Twitter Blue and even changing the Twitter logo to the DOGE logo had delivered DOGE support at the time.

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was down 1.26% to $0.06504. A mixed start to the day saw DOGE rise to an early high of $0.06690 before falling to a low of $0.06466.

Technical Indicators

DOGE needs to avoid the $0.0641 pivot to target the First Major Resistance Level (R1) at $0.0682. US economic indicators and updates on the Twitter (TWTR) deal would need to be DOGE-friendly to support a breakout from the morning high of $0.06690.

In the case of another extended crypto market rebound, DOGE should test the Second Major Resistance Level (R2) at $0.0706 before any pullback. The Third Major Resistance Level (R3) sits at $0.0771.

A fall through the pivot would bring the First Major Support Level (S1) at $0.0617 into play. However, barring an extended sell-off, DOGE should avoid sub-$0.0600 and the Second Major Support Level (S2) at $0.0576. The Third Major Support Level (S3) sits at $0.0511.

The EMAs sent a bullish signal, with DOGE sitting above the 200-day EMA, currently at $0.06206. Today, the 50-day EMA crossed through the 100-day EMA, with the 100-day EMA narrowing to the 200-day EMA, delivering bullish signals.

A bullish cross of the 50-day EMA through the 200-day EMA would support a breakout from R1 ($0.0682) to bring R2 ($0.0706) into play. However, a fall through the 200-day EMA ($0.06206) would bring the support levels into play.

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was down 0.86% to $0.00001152. A mixed start to the day saw SHIB rise to an early high of $0.00001179 before falling to a low of $0.00001142.

Technical Indicators

SHIB needs to avoid the $0.0000115 pivot to target the Firsts Major Resistance Level (R1) at $0.0000119. Crypto-friendly US economic indicators and FOMC member chatter would support a breakout from the morning high of $0.00001179.

A broad-based crypto rally would see SHIB test the Second Major Resistance Level (R2) at $0.0000121. The Third Major Resistance Level (R3) at $0.0000128.

A fall through the pivot would bring the First Major Support Level (S1) at $0.0000112 into play. Barring an extended sell-off, SHIB should avoid sub-$0.0000110 and the Second Major Support Level (S2) at $0.0000108.

The Third Major Support Level (S3) sits at $0.0000102.

The EMAs send a bearish signal, with SHIB sitting above the 100-day EMA, currently at $0.00001130. 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 bullish.

A move through 200-day EMA ($0.00001160) would give the bulls a run at R1 ($0.0000119). However, a fall through the 100-day EMA ($0.00001130) would support a run at the 50-day EMA ($0.00001121) and S1 ($0.00001120).