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SHIB Needs Shibarium Upgrade News to Retarget $0.000016

By:
Bob Mason
Published: Feb 7, 2023, 05:50 GMT+00:00

After a bearish Monday, SHIB and DOGE found early support this morning. However, a lack of network updates would leave the broader market to influence.

SHIB and DOGE technical analysis - FX Empire

In this article:

Key Insights:

  • Dogecoin (DOGE) and shiba inu coin (SHIB) joined the broader crypto market in the red on Monday.
  • A lack of network updates and Twitter chatter left Fed Fear and Binance news to test buyer appetite.
  • The technical indicators remain bullish, signaling further price gains.

Dogecoin (DOGE) fell by 2.50% on Monday. Following a 4.07% loss on Sunday, DOGE ended the day at $0.0897.

After a choppy start to the day, DOGE rose to a late morning high of $0.0935 before hitting reverse. Coming up short of the First Major Resistance Level (R1) at $0.0959, DOGE slid to a final-hour low of $0.0886. DOGE briefly fell through the First Major Support Level (S1) at $0.0892 before ending the day at $0.0897.

Shiba inu coin (SHIB) fell by 1.54% on Monday. Following a 2.85% decline on Sunday, SHIB ended the day at $0.00001408.

Tracking the broader crypto market, SHIB rose to a mid-morning high of $0.00001483 before hitting reverse. Coming up short of the First Major Resistance Level (R1) at $0.00001514, SHIB slid to a final-hour low of $0.00001393. However, steering clear of the First Major Support Level (S1) at $0.00001368, SHIB wrapped up the day at $0.00001408.

Network Silence Left Fed Fear and Binance News in Focus

It was another quiet session on Monday, with no updates from the Dogecoin Foundation or Shibarium Network to provide direction.

The lack of network updates left DOGE and SHIB in the hands of the broader crypto market. Bearish sentiment stemming from Fed Fear and news of Binance suspending US dollar withdrawals for non-Binance US users weighed on investor sentiment.

However, sentiment towards the Shibarium upgrade and the planned inclusion of DOGE on the Twitter payment platform remain tailwinds.

SHIB burn rates and whale activity have been behind the return to the $0.000015 handle ahead of the Shibarium upgrade. However, SHIB investors will likely need more details on the upgrade to support a breakout from the current year’s high of $0.00001590 to target $0.00002.

DOGE has also enjoyed support from whale activity, though Twitter and Elon Musk will likely remain the key drivers over the nearer term.

Investors should monitor the crypto news wires for network or Twitter updates today. A lack of updates would likely leave the pair in the hands of the broader crypto market. FOMC member chatter and FTX, Binance, Genesis, and Silvergate Bank updates will draw interest along with regulatory commentary.

Dogecoin (DOGE) Price Action

This morning, DOGE was up 1.00% to $0.0906. A bullish start to the day saw DOGE rise from an early low of $0.0894 to a high of $0.0911.

DOGE on the move.
DOGEUSD 070223 Daily Chart

Technical Indicators

DOGE needs to avoid a fall through the $0.0906 pivot to target the First Major Resistance Level (R1) at $0.0926 and the Monday high of $0.0935. A return to $0.0910 would signal a bullish DOGE session. However, the broader crypto market and network updates need to be DOGE-friendly to support a breakout session.

In the event of an extended rally, the Second Major Resistance Level (R2) at $0.0955 would likely come into play. The Third Major Resistance Level (R3) sits at $0.1004.

A fall through the pivot would bring the First Major Support Level (S1) at $0.0877 into play. However, barring an extended sell-off, DOGE should avoid sub-$0.0870 and the Second Major Support Level (S2) at $0.0857. The Third Major Support Level (S3) sits at $0.0808.

DOGE resistance levels in play above the pivot.
DOGEUSD 070223 Hourly Chart

The EMAs sent a bullish signal, with DOGE sitting above the 100-day EMA, currently at $0.0918. This morning, the 50-day EMA narrowed to the 100-day EMA, while the 100-day EMA widened from the 200-day EMA. The price signals were mixed.

A move through the 50-day EMA ($0.0918) would support a breakout from R1 ($0.0926) to bring R2 ($0.0955) into view. However, a fall through the 100-day EMA ($0.0898) would give the bears a run at the S1 ($0.0877) and the 200-day EMA ($0.0867). A move through the 50-day EMA would deliver a bullish signal.

EMAs remain bullish.
DOGEUSD 070223 4 Hourly Chart

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was up 0.07% to $0.00001409. A mixed start to the day saw SHIB fall to an early low of $0.00001396 before rising to a high of $0.00001420.

SHIB finds early support.
SHIBUSD 070223 Daily Chart

Technical Indicators

SHIB needs to move through the $0.00001428 pivot to target the First Major Resistance Level (R1) at $0.00001463 and the Monday high of $0.00001483. A return to $0.00001450 would signal an extended bullish session. However, SHIB would need more details on the Shibarium upgrade and broader market support to deliver a breakout session.

In the event of an extended rally, SHIB could test the Second Major Resistance Level (R2) at $0.00001518. The Third Major Resistance Level (R3) sits at $0.00001608.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.00001373 in play. However, barring an extended sell-off, SHIB should avoid sub-$0.00001350 and the Second Major Support Level (S2) at $0.00001338.

The Third Major Support Level (S3) sits at $0.00001248.

SHIB support levels in play below the pivot
SHIBUSD 070223 Hourly Chart

The EMAs send a bullish signal, with SHIB sitting above the 50-day EMA, currently at $0.00001333. The 50-day EMA pulled away from the 100-day EMA, with the 100-day EMA widening from the 200-day EMA. The signals were bullish.

A hold above Major Support Levels and the 50-day EMA ($0.00001333) would support a breakout from R1 ($0.00001463) to target R2 ($0.00001518). However, a fall through S1 ($0.00001373) would give the bears a run at S2 ($0.00001338) and the 50-day EMA ($0.00001333). A fall through the 50-day would send a bearish signal.

EMAs are bullish.
SHIBUSD 070223 4 Hourly Chart

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

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