DOGE Needs a Return to $0.0600 to Support a DOGE and SHIB Breakout

Key Insights:

• It was a bearish Tuesday session, with shiba inu (SHIB) seeing a three-day winning streak end.
• US economic indicators and corporate earnings left DOGE, SHIB, and the broader crypto market on the back foot.
• The technical indicators remain bearish, with Fed Fear continuing to peg the pair back from a break from the current price ranges.

On Tuesday, dogecoin (DOGE) slipped by 0.36%. Partially reversing a 1.80% gain from Monday, DOGE ended the day at $0.05977.

A mixed start to the day saw DOGE fall from an early morning high of $0.06030 to a mid-afternoon low of $0.05853. Finding support at the First Major Support Level (S1) at $0.0590, DOGE bounced back to an afternoon high of $0.06115. DOGE broke through the First Major Resistance Level (R1) at $0.0606 before sliding back into negative territory.

Shiba inu coin (SHIB) slid by 2.21% on Tuesday. Reversing a 1.07% gain from Monday, SHIB ended the day at $0.00001017.

A bullish start to the day saw SHIB rise to an early morning high of $0.00001051. Coming up against the First Major Resistance Level (R1) at $0.00001051, SHIB slid to a late afternoon low of $0.00000998. SHIB fell through the First Major Support Level (S1) at $0.00001025 and the Second Major Support Level (S2) at $0.00001010.

However, finding late support, SHIB broke back through S2 to end the day at $0.00001017.

A lack of network news left DOGE and SHIB in the hands of crypto investor sentiment on Tuesday. US economic indicators continued to support hawkish Fed moves, which left Fed fear to overshadow upbeat US corporate earnings results.

Elon Musk’s Twitter (TWTR) buy out remains the near-term focal point for DOGE investors. The acquisition could lead to the inclusion of DOGE and possibly SHIB as payment options.

Bearish sentiment spilled over to today’s session, with the NASDAQ Mini sliding back from early highs to test appetite for riskier assets.

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was down 0.91% to $0.05922. A mixed start to the day saw DOGE rise to an early high of $0.06019 before falling to a low of $0.05899.

Technical Indicators

DOGE needs to move through the $0.0598 pivot to target the First Major Resistance Level (R1) at $0.0611 and the Tuesday high of $0.06115. However, crypto news and Fed chatter should be crypto-friendly to support a breakout from the morning high of $0.06019.

In the case of an extended crypto market rally, DOGE should test the Second Major Resistance Level (R2) at $0.0624 and resistance at $0.0630. The Third Major Resistance Level (R3) sits at $0.0651.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.0585 in play. However, barring another crypto sell-off, DOGE should steer clear of sub-$0.0575 and the Second Major Support Level (S2) at $0.0572. Third Major Support Level (S3) at $0.0546.

The EMAs sent a bearish signal, with DOGE sitting below the 50-day EMA, currently at $0.05971. The 50-day EMA slipped back from the 100-day EMA, with the 100-day EMA easing back from the 200-day EMA. The price signals were bearish.

A move through the 50-day EMA ($0.0591) and the 100-day EMA ($0.06026) would give the bulls a run at the 200-day EMA ($0.06109) and R1 ($0.0611). However, failure to move through the 50-day EMA ($0.05971) would leave DOGE under pressure.

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was down 1.18% to $0.00001005. A bearish start to the day saw SHIB fall from an early high of $0.00001018 to a low of $0.00001002.

Technical Indicators

SHIB needs to move through the $0.00001022 pivot to target the First Major Resistance Level (R1) at $0.00001046 and the Tuesday high of $0.00001051. SHIB would need broader market support to break out from the morning high of $0.00001018.

A broad-based crypto rally would see SHIB test the Second Major Resistance Level (R2) at $0.00001075. The Third Major Resistance Level (R3) sits at $0.00001128.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.00000993 in play. Barring an extended sell-off, SHIB should avoid sub-$0.0000098 and the Second Major Support Level (S2) at $0.000000969.

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

The EMAs send a bearish signal, with SHIB sitting below the 50-day EMA, currently at $0.00001036. This morning, the 50-day EMA slid back from the 100-day EMA, with the 100-day EMA easing back from the 200-day EMA. The signals were bearish.

A move through the 50-day EMA ($0.00001036) would support a breakout from R1 ($0.00001046) to give the bulls a run at the 100-day EMA ($0.0000159). A move through the 100-day EMA would bring R2 ($0.00001075) into play.

However, failure to move through the 50-day EMA ($0.00001036) would leave S1 ($0.00000993) in view.