Top 3 Trending Cryptocurrencies Shiba Inu, Dogecoin, Ethereum Classic: Shib Price Prepping Up for a Fresh Upswing
- Shib price looks to test the key 50-SMA support on the 4H chart, as bullish potential remains intact.
- Dogecoin bulls need to crack 21-SMA resistance on 12H chart to extend Musk’s tweet-led upside.
- 50-SMA on the 4H chart caps immediate upside after Ethereum Classic’s falling channel breakout.
As the most widely traded digital assets stage an impressive recovery, Ethereum Classic seems to outperform the market, gaining nearly 20% so far.
Bitcoin has popped back above $50,000, Ethereum closes in on $4,200 while Binance Coin regains $600. Meanwhile, celebrity-endorsed cryptocurrencies such as Dogecoin and Shiba Inu are also back in demand.
After Tesla Inc. founder Elon Musk Twitter poll-induced spike on Tuesday, a fresh selling wave across the crypto space swept the DOGE price off the floors. The crash was also sponsored by Musk after he said that his company will no longer accept Bitcoin as a form of payment amid climate concerns.
Although Dogecoin found fresh support after Musk tweeted on Thursday, “potentially promising” news for the network. Further, the announcement from the US cryptocurrency exchange Coinbase, about it listing DOGE in its crypto offerings in six to eight weeks, also remains supportive of the bullish momentum.
Meanwhile, the crypto markets continue to remain highly influenced by Musk’s tweets. Investors look past the news that the world’s largest crypto exchange, Binance, is currently facing money laundering and tax evasion investigations by the US Justice Department and the Internal Revenue Service.
Let’s see how are these three hot DeFi tokens positioned on the technical charts?
Shib Price: Bulls look to challenge the descending trendline resistance while above 50-SMA
The Shib price is back in the red zone heading into the weekend, reversing almost half the rebound witnessed on Thursday.
The canine-themed coin has eroded nearly 50% of its advance since May 11, currently losing 2.5% on a daily basis.
Amid ongoing downbeat momentum, the Shib price is hovering in a tight range, awaiting a fresh catalyst for a breakout in either direction.
At the time of writing, Shiba Inu’s upside attempts continue to be limited by the descending trendline resistance joining the lower highs formed on the four-hour chart, as the coin consolidates its massive correction from all-time highs.
Meanwhile, a failure to find acceptance below the ascending 50-SMA support line, currently at $0.0000174, over the past couple of days have kept the Shib buyers hopeful.
The Relative Strength Index (RSI) is on a steady recovery and has turned flat just at the midline, suggesting improving odds for a potential break to the upside.
A four-hourly candlestick closing above the descending trendline resistance at $0.0000216 is critical to reviving the recovery momentum from the recent crash.
The bearish 21-SMA at $0.0000243 is likely to challenge the bullish commitments, as the Shib price keeps their sight on the $0.000030 barrier.
SHIB/USDT: Four-hour chart
If the 50-SMA cap gives way to the renewed selling pressure, a test of the static support around $0.000013 is expected to be on the cards.
It’s worth noting that any fresh decline could be seen a good dip-buying opportunity, as the demand for the so-called Doge-killer remains on the rise.
Dogecoin: Bulls eyeing a rally towards $1 as technical setup remains favourable
Dogecoin, the so-called meme coin, sits at weekly highs shy of the $0.60 threshold, once again rescued by Musk’s fancies.
The DOGE price is extending its recovery from two-week troughs of $0.3370 into the second straight day this Friday, with further upside likely on the cards amid a favourable technical setup on the 12-hour chart.
The latest Musk-led upswing that followed the correction from record highs took a shape of a falling wedge.
An upside break from the falling wedge formation found a validation after the price saw another leg higher over the past 12 hours.
Recapturing of the pattern resistance at $0.4870 confirmed the bullish continuation pattern, which opened up doors for a test of the $1 mark once again.
However, the buyers need to crack the 21-SMA resistance at $0.5480, in order to bolster the uptrend. Further up, the $0.60 psychological level could be on their radar.
The RSI holds firmer above the midline, pointing to more gains in the offing. Meanwhile, a confirmation of a spinning top bullish reversal received a day before added credence to the renewed upward journey in the DOGE price.
DOGE/USD: 12-hour chart
A failure to deliver a 12-hourly candlestick closing above the 21-SMA could recall the DOGE sellers, as they would seek a retest of the pattern resistance now support at $0.4665.
The line in the sand for the DOGE optimists is aligned at the horizontal 50-SMA, now at $0.4140.
Ethereum Classic: Buyers catch a breather after the big technical breakout
The ETC bulls are relentless, as the price pierces through the $100 psychological magnate on Friday.
ETC/USD’s heavy gains seen so far this Friday confirms the bullish reversal from eight-day lows of $72.68 reached Thursday.
The buyers eyeing additional upside once the horizontal 50-SMA at $112 on the four-hour chart is taken out convincingly.
With the RSI recovering ground above the midline, the ETC price is likely to extend the falling channel breakout towards $200 once the 50-SMA resistance is scaled.
ETC/USD: Four-hour chart
Alternatively, the confluence of the falling channel support-now-resistance and 21-SMA around $98 will be a tough nut to crack for the ETC bears.
Selling pressure will accelerate below the latter, which could expose the upward-sloping 100-SMA at $80.25.
Overall, the path of least resistance appears to the upside for these DeFi tokens, which are increasingly gaining the market’s attention amid listings on renowned cryptocurrency exchanges.