DOGE Sees Early Losses with a Rebound Hinged on the US Jobs Report

Key Insights:

• Dogecoin (DOGE) and shiba inu coin (SHIB) joined the broader crypto market in the red on Thursday.
• Profit-taking offset the news of China easing lockdown measures, with US economic indicators weighing on investor sentiment later in the day.
• The technical indicators remain mixed, with the DOGE EMAs signaling further price gains.

On Thursday, dogecoin (DOGE) slid by 4.50%. Partially reversing a 5.13% rally from Wednesday, DOGE ended the day at $0.1018. Notably, DOGE wrapped up the day at $0.10 for the third time since November 7.

A mixed start to the day saw DOGE rise to an early high of $0.1079. Coming up short of the First Major Resistance Level (R1) at $0.1112, DOGE fell to a mid-afternoon low of $0.1003. However, finding support at the First Major Support Level (S1) at $0.1008, DOGE revisited $0.1026 before easing back.

Shiba inu coin (SHIB) fell by 1.50% on Thursday. Partially reversing a 2.97% gain from Wednesday, SHIB ended the day at $0.00000921.

Tracking DOGE, SHIB rose to an early high of $0.00000937. Falling short of the First Major Resistance Level (R1) at $0.00000949, SHIB slid to a late low of $0.00000910. However, finding support at the First Major Support Level (S1) at $0.00000912, SHIB revisited $0.00000922 before easing back.

Bearish movement through the morning suggested profit-taking ahead of US inflation figures later in the day and today’s US Jobs Report.

Fed Chair Powell fueled a crypto rally on Wednesday, talking about the need to slow the pace of rate hikes. However, Thursday’s inflation numbers and today’s Jobs Report could reignite bets of another 75-basis point rate hike.

The inflation figures on Thursday failed to convince investors, with inflation softening from 5.2% to 5.0%. Today’s Jobs Report could have more influence. A pickup in wage growth and a jump in nonfarm payrolls could give the hawks reason to push for another 75-basis point rate hike. In contrast, weak numbers could raise concerns over the economic outlook.

While external market forces were price-negative, hopes of Twitter integrating DOGE onto the payment platform cushioned the downside.

However, bearish sentiment lingered this morning, leaving DOGE and SHIB with early losses. With investors focusing on today’s US Jobs Report, investor jitters over the US economic outlook weighed early, with the NASDAQ mini down 44.25 points.

The US Jobs Report and updates from Twitter and Elon Musk will be the key drivers today.

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was down 2.85% to $0.0989. A mixed start to the day saw DOGE rise to an early high of $0.1037 before falling to a low of $0.0967.

DOGE fell through the First Major Support Level (S1) at $0.0988 before finding support.

Technical Indicators

DOGE needs to move through the $0.1033 pivot to target the First Major Resistance Level (R1) at $0.1064 and the Thursday high of $0.1079. A return to $0.1050 would signal a bullish afternoon session. However, today’s stats and Twitter updates need to be DOGE-friendly to support a breakout session.

In the event of an extended afternoon breakout session, the bulls could take a run at the Second Major Resistance Level (R2) at $0.1109. The Third Major Resistance Level (R3) sits at $0.1185.

Failure to move through the pivot ($0.1033) would leave the First Major Support Level (S1) at $0.0988 in play. Barring an extended sell-off, DOGE should avoid sub-$0.0950. The Second Major Support Level (S2) at $0.0957 should limit the downside.

The Third Major Support Level (S3) sits at $0.0881.

The EMAs sent a bullish signal, with DOGE sitting above the 50-day EMA, currently at $0.0967. The 50-day EMA moved away from the 100-day EMA, with the 100-day EMA widening from the 200-day EMA. The price signals were bullish.

A hold above S1 ($0.0988) and the 50-day EMA ($0.0967) would support a breakout from R1 ($0.1064) to target R2 ($0.1109). However, a fall through S1 ($0.0988) and the 50-day EMA ($0.0967) would give the bears a run at S2 ($0.0957).

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was down 0.22% to $0.00000919. A mixed start to the day saw SHIB rise to an early high of $0.00000928 before falling to a low of $0.00000906.

SHIB fell through the First Major Support Level (S1) at $0.00000908 before finding support.

Technical Indicators

SHIB needs to move through the $0.00000923 pivot to target the First Major Resistance Level (R1) at $0.00000935 and the Thursday high of $0.00000937. A return to $0.00000930 would signal a bullish afternoon session. However, SHIB will likely take its cues from the broader crypto market and the NASDAQ Index.

In the case of an extended rally, SHIB would likely test the Second Major Resistance Level (R2) at $0.00000950. The Third Major Resistance Level (R3) sits at $0.00000977.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.00000908 in play. Barring an extended sell-off, SHIB should avoid sub-$0.00000900 and the Second Major Support Level (S2) at $0.00000896. The Third Major Support Level (S3) sits at $0.00000869.

The EMAs send a bearish signal, with SHIB sitting below the 100-day EMA, currently at $0.00000929. This morning, the 50-day EMA flattened on the 100-day EMA, while the 100-day EMA fell back from the 200-day EMA. The signals were mixed.

A SHIB move through the 100-day EMA ($0.00000929) would support a breakout from R1 ($0.000000935) to target R2 ($0.000000950). However, a fall through the 50-day EMA ($0.00000916) and S1 ($0.00000908) would bring sub-$0.00000900 into view.