Baby Doge Coin (BABYDOGE) maintained its bullish market structure even when the whole market turned red. Will the token continue its uptrend? Read more to find out!
After the listing of Baby Doge Coin (BABYDOGE) on OKEx in August, the price of the token has experienced an increase of around 85% (considering the current price), where the returns from BABYDOGE’s all-time highs are more than 240%.
With Bitcoin (BTC) looking particularly weak, it is smart to look for coins that have the potential to outperform it this year when the price will bounce. Memecoins, metaverse tokens, web 3.0 projects should be at the top of the list. Memecoins have remained a vital part of the cryptocurrency market and have provided some of the most lucrative returns. Therefore, looking for new ‘memes’ before the market takes an upturn is a good move.
Now the question is if BABYDOGE will provide as good returns as DOGE and SHIB did previously. Let’s hop onto the charts and find out!
BABYDOGEUSDT in a 1-Day Chart
BABYDOGE is still in an uptrend on a macro level. This is because it has continued to form higher highs and lower lows. However, buyers didn’t have the strength to push it to new all-time highs. This is understandable due to BTC’s recent price action. Coins with high beta value, such as BABYDOGE, are likely to follow what BTC does. If the price can consolidate around 0.000000002576 (the support level), then a further move up could be anticipated. The bullish structure could be maintained down at 0.0000000175, however, a close below this level would likely result in new lows.
BABYDOGEUSDT in a 4-Hour Chart
Memecoins tend to follow specific cycles, as can be seen on the 4-hour chart. Here, the price seems to be at the end of its cycle. With it moving down to 0.00000002576, a bounce could be expected here. Any consolidation between 0.00000003646 and 0.00000002576 could be seen as accumulation; therefore, looking to play the range could be a great idea. If the price breaks down to 0.000000001469, that would be a great place to accumulate the tokens as there is a clear invalidation below the wick. Even so, it is unlikely that the token’s price will reach that point.
BABYDOGE/BTC in a 4-Hour Chart
As the price is reaching the support level, a bounce at 64 sats is highly likely. BTC has generally outperformed BABYDOGE in the past few days. From 56 to 64 sats, there is a clear demand zone. As long as the token holds this level, the market structure will remain bullish and the price will likely reverse, potentially testing the 84 sats resistance. If this resistance gets flipped, new highs relative to BTC will be on the table. Below the demand zone at 56 sats, the price would break the market structure and test the lows, or at least the trendline around 40 sats. This would cause a decrease of 20% in the price. Therefore, make sure to put a stop loss on your trades to avoid any potential loss.
Let’s compare BABYDOGE to similar successful tokens in the race. Dogecoin (DOGE) and Shiba Inu (SHIB) are comparable and over the last year have returned life-changing gains to many.
Will BABYDOGE outperform them in the foreseeable future? Let’s jump on the charts and find out!
BABYDOGE/SHIB in a 4-Hour Chart
On the BABYDOGE/SHIB chart, the price has broken out of a 97-day accumulation range and seems ready to go higher. It has performed a crucial S/R flip. If the price consolidates between 0.00014989 and 0.000109618, it could add more fuel needed to pump this pair back to all-time highs. The only thing to beware of is that the pair has pumped more than 100% in the past seven days.
BABYDOGE/DOGE in a 4-Hour Chart
On the BABYDOGE/DOGE chart, you can see clear demand. The price reacted extremely well at the support level and seems to be heading towards the all-time highs again. The consolidation at 0.000000020081 would be beneficial. However, if it is done around 0.000000018137, it would be considered bullish.
The price has now formed a higher low. If we do lose the levels mentioned above, it is likely that DOGE will outperform in the foreseeable future.
Summarizing Everything
BABYDOGE is a memecoin with over a $980 million market cap. Since its release on OKEx in August 2021, it has offered returns of over 80%.
- BABYDOGE is in a bullish trend on the 1-day chart. However, for the price to go higher, it needs to reclaim the $0.000000002976 level.
- Bitcoin has outperformed BABYDOGE in the past few days. As the price is going towards the higher time frame demand zone (56-64 sats) in the short to medium time frames, it is likely that BABYDOGE will outperform BTC soon!
- It seems likely that the token will outperform SHIB as the price has broken out of a 97-day accumulation range. It also seems as if it is going to outperform DOGE too due to the key S/R flips that happened recently.
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