Dogecoin, Shiba Inu, and PEPE the top 3 meme coins have retained some recent gains after Bitcoin recently attempted to break its all-time high.
On Tuesday, Bitcoin was able to peak at $73,620 which once again brought it closer to its all-time high.
Bitcoin's rise was mirrored by Dogecoin, Shiba Inu, and PEPE who all corrected in the early hours of wednesday.
DOGE, SHIB, and PEPE all experienced an increase in active user addresses on Tuesday along with their respective price increases.
More and more social networks are seeing the emergence of Dogecoin and Shiba Inu, while Pepe is fading into the background.
After a spectacular run on Tuesday during which Bitcoin managed to come very close to the historical high of $73,777, the web's most frequented meme coins: Dogecoin (DOGE), Shiba Inu (SHIB), and PEPE, took a dip in their value on Wednesday. The price Movement of the two and three tokens trends with that of Bitcoin and on-chain data suggests DOGE and SHIB market activity peaked , instantly before the current price decrease.
Meme coins follow Bitcoin's every movement in pursuit of record breaking price.
The three meme coins of interest, DOGE, SHIB and PEPE did make some upward movements on Tuesday along with the Bitcoin token and its dome, however, there was price correction in the three tokens on Wednesday. Active addresses (24-hour moving average) and social dominance were most effective from the two as price increased on Tuesday.
DOGE and PEPE are consistent in their active trading too, but today’s prize goes to DOGE, which wins all X Twitter with a staggering 2735 out of 3744 discussions including the token today, giving it a yet again moderate day for SHIB. PEPE’s dominance is higher today, unlike the two other tokens that noted a decrease in dominance on Wednesday.
Technical analysis: DOGE, SHIB and PEPE
Dogecoin dropped about 2.7% on Wednesday which ended a four day streak of positive returns.
The Relative Strength Index (RSI) momentum indicator reads 71, indicating that it is currently overbought and also in a downward trend. The current overbought status would suggest traders to refrain from adding to their long positions. On the other hand, it would be wise to exit this area since it demonstrates potential for deeper pullbacks if the price drops below a certain level.
If there is indeed a decline in prices, DOGE can sweep liquidity at lower Bound of Fair Value Gap (FVG) $0.16261, which marks a key support level.
Shiba Inu is attempting to break out of its jaw, which it has been struggling with for the last wide of months, as seen on the daily price chart below. Prices have recently breached above a trendline developed from peak highs set in March. If breaks out, then SHIB could expand its gains by an additional 8.8 percent and test resistance at the top of FVG at $0.00002040.
The RSI is registering 57 which is better than the neutral line at 50, suggesting that there is about to be a slight bullish momentum.
In cases where Shiba Inu price does see a pullback, the adaptive sequence’s first place of stop points is scattered at the 200-day EMA line at $0.00001709.
PEPE appears to be trending downwards as its daily chart indicates, and makes lower high peaks since mid-May. This dip could potentially retest October 25 high and moderate tilt with a 7% bump at resistance located at $0.00001005 for the meme coin.
In regard to the Moving Average Convergence Divergence (MACD) indicator, it can be observed that less and less red histogram bars have been showing under PEPE’s price trend of ‘down’.
The RSI clearly appears at 48, just below the mark of 50, indicating a slight change across the trading community making sellers and buyers hesitant.
If PEPE price moves in the opposite direction and falls, it will likely meet possible support at $0.00000868 near the 200-day EMA.