DOGE, SHIB, TRUMP Analysis: Will Memecoins Rise More Amid Easing Trade Tensions?

Memecoins rallied on May 12 after the US and China agreed to cut tariffs, boosting risk sentiment. Dogecoin (DOGE) rose 3.68%, Shiba Inu (SHIB) gained 4.78%, and Official Trump (TRUMP) climbed 1.82%.

But charts hint the rally may be short-lived.

Dogecoin Price Analysis: Fractal Indicates 28-30% Drop Next

Dogecoin’s 20-day exponential moving average (20-day EMA; the purple wave) has crossed above its 50-day EMA for the first time since September 2024, forming a bullish “golden cross.” However, this setup preceded a 23.47% drop back then, and a similar pattern is emerging again.

The relative strength index (RSI) reads 71.65, pushing into overbought territory. DOGE’s recent rally could face exhaustion soon, especially as the price hovers near a local top. A pullback of 28.35% is possible, mirroring previous fractals.

Shiba Inu Price Analysis: RSI is Cooling, But Reversal Risk Looms

SHIB also printed a golden cross between its 20- and 50-day EMAs. This technical signal preceded a 26.42% drop in late 2024, and a similar trajectory could repeat.

RSI is at 69.38—just shy of being overbought, suggesting limited room for upside without consolidation. The token’s latest swing hints at a possible correction of 15.24%, especially as momentum stalls near resistance levels.

TRUMP Price Analysis: Rising Wedge Signals Breakdown

TRUMP’s daily chart displays a textbook rising wedge—a bearish reversal pattern. The token has rallied sharply in recent weeks, but the wedge’s converging trendlines and weakening RSI (59.27) suggest fading bullish strength.

If confirmed, the breakdown could send TRUMP’s price toward the $7.20 level, a potential 48.5% drop from current prices. The recent price action inside the wedge, coupled with declining volume, supports this bearish outlook.

Conclusively, the post-trade-deal bounce gave memecoins a much-needed boost, but technical patterns hint that the rally may be running out of steam. DOGE and SHIB face risks of sharp pullbacks despite golden crosses, while TRUMP shows signs of a potential breakdown.