Dogecoin and Shibacoin also fell along with Bitcoin! Price decline, trading volume shrinks
When Bitcoin fell below $56,000 on September 5, the prices of Dogecoin and Shibacoin also fell. On the same day, Dogecoin fell to $0.96 and Shibacoin fell to $0.00001309.
Currently, both Bitcoin and these important meme coins lack momentum to rise and continue to be affected by macroeconomic factors.
The decline in trading volume also drove the price of Dogecoin and Shibacoin down as investors showed less interest in buying and trading these meme coins. CoinMarketCap data shows that DOGE's trading volume has fallen by more than 3%, and Shibacoin's trading volume has fallen by 12.86%.
In addition, historical data shows that the price decline of Dogecoin and Shibacoin in September is a common phenomenon, as these two meme coins have mostly suffered losses in September in the past few years. Interestingly, 2021 was the last time Dogecoin and Shibacoin made profits in September.
If the price of Bitcoin continues to fall, Dogecoin and Shiba Inu may also be affected. Recently, cryptocurrency analyst Ari Martinez predicted that if Bitcoin fails to hold the $51,000 support level, it may fall to $40,600.
BitMEX co-founder Arthur Hayes also mentioned on X (formerly Twitter) that Bitcoin is in a heavy state now and he believes that it may fall below $50,000 this weekend.
Currently, Dogecoin and Shiba Inu are trading below their respective key support levels: $0.10 and $0.000020. If Bitcoin falls below $50,000, these two currencies may suffer a larger decline. For DOGE in particular, $0.077 is an important point of concern because at this price, 1.22 million addresses bought 23.2 billion DOGE.
Meanwhile, 130.17 trillion SHIB purchases were concentrated at around $0.000013. If Shiba Inu falls below this level, it could face further declines and could even fall below the psychological barrier of $0.000010.
