February 2023, The Distributed, Stanko Illiev and Md Ishtiaque Ahmed
February has been a positive month for the cryptocurrency market so far, Bitcoin is trading above $24,500, and this situation also positively influences Dogecoin (DOGE) and Shiba Inu (SHIB). The cryptocurrency market is usually correlated with the US stock market. Still, it is essential to note that the jump in prices across cryptocurrencies this trading week diverged from the price action of many US stocks.
Cryptocurrency traders shrugged off concerns that inflation and a strong US economy could put the Federal Reserve on pace for more interest rate hikes. Dogecoin (DOGE) jumped above $0,09 this Thursday, but despite the current correction, bulls still control the price movement.
Shiba Inu (SHIB) is also up on a weekly basis, but it is not yet clear whether bulls will find enough strength to push the price again above the critical resistance level that stands at $0.000015. Founder of Gokhshtein Media, crypto enthusiast David Gokhshtein said this week that Dogecoin (DOGE) and Shiba Inu (SHIB) would continue attracting many new retail buyers to the crypto market, which could increase the price of these two cryptocurrencies even more.
However, cryptocurrency traders should not forget that the US Securities and Exchange Commission continues with pressure to bring crypto operators within the US under the same regulatory framework that governs the sale of all sorts of securities — to treat cryptocurrencies much like stocks and bonds.
Wall Street Journal reported this week that the Binance crypto exchange was expecting to pay fines to the US SEC. At the same time, there is also a possibility that Binance could cut off its ties with certain US business affiliates. If Binance abandons key US relationships, that would be a significant setback for the cryptocurrency market. The prices of Dogecoin (DOGE) and Shiba Inu (SHIB) would probably be at lower levels.
Dogecoin Technical Analysis
Key Findings: DOGE Technical Analysis
- Dogecoin price was 6.8% up last week.
- DOGE failed to create a new high since the price got rejected at $0.1000.
- The price is currently testing the dynamic support at 8 & 21 EMA.
- A bearish breakout below the current consolidation range may drive the price toward psychological support near $0.07000.
- According to MACD, Dogecoin is currently under a flat-trend condition.
The Dogecoin price returned above $0.08000 and witnessed a 6.8% gain last week despite the overall bearish momentum.
Since the price got rejected from the resistance at $0.10000, DOGE failed to create a new high and returned below the 21 EMA support.
However, Dogecoin returned above both 8 & 21 EMA on February 15 (Wednesday) but still struggling to return to the immediate resistance.
The moving average convergence divergence (MACD) value is at zero, suggesting a neutral trend. The MACD signal lines also indicate a flat momentum of the Dogecoin price.
We may see DOGE coming back to the current support at $0.07000 if the price fails to sustain above $0.08000. A break below this support may cause a further downside target near $0.0550.
Conversely, for a bullish outlook, the Dogecoin price must exceed $0.1000 to revive the recent upside rally.
Shiba Inu Technical Analysis
Key Findings: SHIB Technical Analysis
- SHIB price maintained a tight range from $0.000012 to $0.0014 throughout last week.
- The price is still holding above 10 SMA, suggesting a bullish momentum.
- A break above the immediate resistance at $0.00015 may push the price towards a further upside target near $0.000016.
- We may see Shiba Inu returning to $0.000011 if the price fails to hold above $0.000012.
Shiba Inu (SHIB) has advanced from $0.000012 to $0.000014 since the beginning of this trading week, and the current price stands at $0.0000132. The price continues to stay above the 10-day moving average, indicating that the positive trend is still not over.
The first resistance level for SHIB stands at $0.000015, and if the price advances above this level, the next target could be $0.000016.
The current support level is $0.000012, and if the price breaks this level, we could see SHIB at $0.000011 or even below. Traders should also consider that the price of SHIB is also correlated with Bitcoin, and if the price of Bitcoin falls again below $22,000, we will probably see SHIB at a lower price level than the current price.
