Memecoins continue to hold steady despite market conditions. Is the local bottom in? Read more to find out!
Last week, memecoins had a small rally, printing a new local top. After forming a lower low, the market is aiming for a higher high. Will it succeed?
In this technical analysis, we will look at some logarithmic charts in the 4-hour time frame to analyze the current market condition.
DOGE/USDT
In last week’s analysis, DOGE failed to go above its resistance level and moved to support. The market fell below the support zone and quickly recovered. Since then, DOGE has been ascending towards the area of interest.
The major trend remains in favor of the bears with no major signs of a reversal yet. At the time of writing. the area of interest is being tested. A successful close above this level will give short-term control to bulls.
Taking a closer look at the most recent price action, DOGE continues to respect a bearish channel pattern. A rejection from the area of interest shown above puts bears in an excellent position.
If there is a 4-hour close above $0.069, expect the bulls to have a rally towards $0.75. However, a rejection from that level may trigger a sell-off towards $0.06.
SHIB/USDT
SHIB has been establishing support at this level since mid-May. It has been in a range between 910 and 1050 for a month now. At the time of writing, the token is testing the June high as resistance. This week, the token is aiming to print a new monthly high.
Let’s shift to the most recent price action! SHIB has successfully closed above the area of interest shown. Its next major resistance level is around 1,550. With a successful close above the June high, expect a push towards new monthly highs.
Rejection from this monthly high will take the token to 1,000.
BABYDOGE/USDT
In last week’s analysis, BABYDOGE was looking to hold the support level, but failed. At the time of writing, BABYDOGE is attempting to close above resistance for the second time.
BABYDOGE has printed a lower low below the resistance zone shown above. If there is a confirmation of a lower high at this level, expect to see a sell-off towards 1200. This is a pivotal level for both bears and bulls.
CATE/USDT
In last week’s analysis, CATE was testing the trend line. Since then, it has successfully closed above this level and tested for support. Are memecoins looking for a bigger move?
Zooming out, you can see 3150 is a well-established support level. At the time of writing, CATE has closed above the area of interest. If there is a 4-hour close above 3900, expect the bulls to make a push towards 4300. However, a rejection from this zone will trigger a trip back into the range.
FLOKI/USDT
FLOKI’s support, mentioned in last week’s analysis, stood strong. Is the token finally making its move?
This week, FLOKI is testing major resistance. It successfully flipped the area of interest into support. If the bulls can break above 800, you may see FLOKI make a run for the nearest ATH. The bears are losing strength at this level.
However, if there is a rejection from the major resistance, expect to see FLOKI retrace back to the support level.
SAITAMA/USDT
SAITAMA continues to respect its price range. As you can see, not much has changed since last week’s analysis. Bulls are establishing support at this level.
This week, the token is testing major resistance, looking for a break to the upside. At the time of writing, there is no confirmation for a break out. A close above this level will trigger a rally to the upside.
Summary
If you are one of those who skipped to the bottom to save some time, here is a summary of the above:
● DOGE is approaching major resistance.
● SHIB is sitting at a pivotal level.
● BABYDOGE is testing the downtrend line.
● CATE continues to establish major support.
● FLOKI is looking to break out of its range.
● SAITAMA continues to establish support inside its range.
Something to look out this week is if memecoins can successfully close above the resistance level.
Remember that this is all based on the subjective views of the writer. As always do your own research.
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