DOGE Eyes a Return to $0.070, with SHIB Tracking DOGE into the Green

Key Insights:

• Dogecoin (DOGE) jumped by 6.30% on Friday to lead the top ten, with shiba inu coin (SHIB) gaining 2.03%.
• News of a rise in DOGE whales and suggestions of DOGE shifting to a Proof-of-Stake (PoS) protocol contributed to the DOGE upside.
• The technical indicators are mixed, with the DOGE breakout suggesting a near-term bearish trend reversal and a return to $0.070.

On Friday, dogecoin (DOGE) rallied by 6.30%. Following a 4.27% gain on Thursday, DOGE ended the day at $0.06336.

After a mixed morning session, DOGE fell to an early afternoon low of $0.05911 before making a move. Steering clear of the First Major Support Level (S1) at $0.0576, DOGE struck a high of $0.06429.

DOGE broke through the First Major Resistance Level (R1) at $0.0608 and the Second Major Resistance Level (R2) at $0.0621 to end the day at $0.06336.

Shiba Inu Coin (SHIB) rose by 2.03% on Friday. Following a 4.53% rally on Thursday, SHIB ended the day at $0.00001107.

Tracking the broader market, SHIB fell to an early afternoon low of $0.00001049. Finding support at the First Major Support Level (S1) at $0.0000105, SHIB rallied to a high of $0.00001135. SHIB broke through the First Major Resistance Level (R1) at $0.0000111 before easing back to end the day at $0.00001107.

Dogecoin whale numbers and talk of Dogecoin moving to a Proof-of-Stake (PoS) protocol delivered the bullish session.

According to intotheblock, DOGE addresses holding 100 million to 1 billion increased by 4.24% to 123 addresses over 30-days. On Friday, September 16, the number of addresses stood at 117, an increase of 5.13% for the current week.

The number of DOGE Whales stands at 8, accounting for 48.8% of 66.47 billion DOGE. Despite the crypto winter, DOGE has also enjoyed a rise in Whale holdings year-to-date. As of January 1, Whale holdings stood at 52.31 billion DOGE, compared with 66.47 billion on Friday.

With the intotheblock numbers bullish, comments from Ethereum co-founder Vitalik Buterin also drew interest. Speaking at MAINNET 2022, Buterin said that Dogecoin should follow Ethereum’s footsteps and shift to a Proof-of-Stake protocol.

Keynote speakers at the event included Anatoly Yakovenko (SOL), Brad Garlinghouse (XRP), Charles Hoskinson (ADA), and Stani Kulechov (AAVE).

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was up 4.17% to $0.06600. A mixed start to the day saw DOGE fall to an early low of $0.06285 before striking a high of $0.06830.

DOGE broke through the First Major Resistance Level (R1) at $0.0654 and the Second Major Resistance Level (R2) at $0.0674 before easing back.

Technical Indicators

DOGE needs to hold above R1 and the $0.0623 pivot to retarget the Second Major Resistance Level (R1) at $0.0674 and the morning high of $0.06830.

Bullish sentiment across the crypto market would support a breakout from R2. In an extended crypto rally, DOGE should test resistance at $0.0700 and the Third Major Resistance Level (R3) at $0.0726.

A fall through R1 and the pivot would bring the First Major Support Level (S1) at $0.0602 into play. Barring another extended sell-off, DOGE should avoid sub-$0.0600 and the Second Major Support Level (S2) at $0.0571. The Third Major Support Level (S3) sits at $0.0519.

The EMAs sent a bullish signal, with DOGE sitting above the 200-day EMA, currently at $0.06278. Today, the 50-day EMA closed in on 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 100-day EMA would support a breakout from R2 ($0.0674) to bring $0.070 into play. However, a slide through the 200-day EMA ($0.06278) would give the bears a run at the 100-day ($0.06102) and the 50-day ($0.06044) EMAs.

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was up 2.17% to $0.00001131.

A mixed morning saw SHIB fall to an early low of $0.00001095 before rising to a high of $0.00001164. SHIB broke through the First Major Resistance Level (R1) at $0.0000115 before easing back.

Technical Indicators

SHIB needs to hold above the $0.0000110 pivot to retarget the First Major Resistance Level (R1) at $0.0000115 and the morning high of $0.00001164.

SHIB would need an extended DOGE rally to support a breakout from the morning high of $0.00001164. In the case of a DOGE breakout session, SHIB should test the Second Major Resistance Level (R2) at $0.0000118 and resistance at $0.0000120. The Third Major Resistance Level (R3) sits at $0.0000127.

A fall through the pivot would bring the First Major Support Level (S1) at $0.0000106 into play. Barring another extended sell-off, SHIB should avoid sub-$0.0000100. The Second Major Support Level (S2) at $0.0000101 would likely limit the downside.

The Third Major Support Level (S3) sits at $0.0000093.

The EMAs send a bearish signal, with SHIB sitting below the 100-day EMA, currently at $0.00001158. This morning, the 50-day EMA flattened on the 100-day EMA, while the 100-day EMA eased back from the 200-day EMA. The signals were mixed.

A move through R1 ($0.0000115) would bring the 100-day EMA ($0.00001158) and R2 ($0.0000118) into view. However, a fall through the 50-day EMA ($0.00001117) would give the bears a run at S1 ($0.0000106).