DOGE Needs to Avoid Sub-$0.0590 to Target $0.0610 with SHIB in Tow

Key Insights:

  • It was a bullish Monday session, with shiba inu (SHIB) extending its winning streak to three sessions.
  • Network updates took a back seat for a second session, with investor reaction to US corporate earnings and UK government policy plans delivering support.
  • However, the technical indicators remain bearish, with Fed Fear continuing to leave the pair in tight ranges.

On Monday, dogecoin (DOGE) rose by 1.80%. Following a 0.59% gain on Sunday, DOGE ended the day at $0.05998.

A bearish start to the day saw DOGE fall to an early morning low of $0.05855. Steering clear of the First Major Support Level (S1) at $0.0584, DOGE rallied to a late high of $0.06018. DOGE broke through the First Major Resistance Level (R1) at $0.0594 and the Second Major Resistance Level (R2) at $0.0600 before easing back through R2.

Shiba inu coin (SHIB) rose by 1.07% on Monday. Following a 0.59% gain on Sunday, SHIB ended the day at $0.00001040.

Tracking the broader market, SHIB fell to an early low of $0.00001021. Steering clear of the First Major Support Level (S1) at $0.00001018, SHIB struck an early afternoon high of $0.00001047. SHIB broke through the First Major Resistance Level (R1) at $0.00001040 before falling back to sub-$0.00001030. However, a bullish end to the day saw SHIB retest R1.

Network updates and Fed Fear took a back seat on Monday. A sharp pickup in appetite for riskier assets delivered DOGE and SHIB price support.

The UK Government’s U-turn on the mini-budget and US corporate earnings delivered a bullish session. However, US economic indicators and market sentiment toward Fed monetary policy limited the upside.

Market bets of a 75-basis point Fed rate hike in November and December held steady on Monday.

Dogecoin (DOGE) Price Action

At the time of writing, DOGE was down 0.86% to $0.05947. A mixed start to the day saw DOGE rise to an early high of $0.06030 before falling to a low of $0.05944.

DOGEUSD 181022 Daily Chart

Technical Indicators

DOGE needs to move through the $0.0596 pivot to retarget the First Major Resistance Level (R1) at $0.0606. However, crypto news and Fed chatter should be crypto-friendly to support a breakout from the morning high of $0.06030.

In the case of an extended crypto market rally, DOGE should test the Second Major Resistance Level (R2) at $0.0612. The Third Major Resistance Level (R3) sits at $0.0628.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.0590 in play. However, barring another crypto sell-off, DOGE should steer clear of sub-$0.0580 and the Second Major Support Level (S2) at $0.0579. Third Major Support Level (S3) at $0.0563.

DOGEUSD 181022 Hourly Chart

The EMAs sent a bearish signal, with DOGE sitting below the 50-day EMA, currently at $0.05977. The 50-day EMA eased back from the 100-day EMA, with the 100-day EMA falling back from the 200-day EMA. The price signals were bearish.

A move through the 50-day EMA ($0.05977) would give the bulls a run at the 100-day EMA ($0.06037) and R1 ($0.0606). The 200-day EMA sits at 0.06120. However, failure to move through the 50-day EMA ($0.05977) would leave DOGE under pressure.

DOGEUSD 181022 4 Hourly Chart

Shiba Inu Coin (SHIB) Price Action

At the time of writing, SHIB was down 0.77% to $0.00001032. A choppy start to the day saw SHIB rise to an early high of $0.00001051 before falling to a low of $0.00001032.

The First Major Resistance Level (R1) at $0.00001051 capped the upside early on.

SHIBUSD 181022 Daily Chart

Technical Indicators

SHIB needs to move through the $0.00001032 pivot to retarget the First Major Resistance Level (R1) at $0.00001051. However, SHIB would need support from the broader market and cautious FOMC member chatter to deliver a sustained bullish session.

A broad-based crypto rally would see SHIB test the Second Major Resistance Level (R2) at $0.00001062. The Third Major Resistance Level (R3) sits at $0.00001088.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.00001025 in play. Barring an extended sell-off, SHIB should avoid sub-$0.0000100. The Second Major Support Level (S2) at $0.000001010 should limit the downside.

The Third Major Support Level (S3) sits at $0.00000984.

SHIBUSD 181022 Hourly Chart

The EMAs send a bearish signal, with SHIB sitting below the 50-day EMA, currently at $0.00001041. This morning, the 50-day EMA fell back from the 100-day EMA, with the 100-day EMA easing back from the 200-day EMA. The signals were bearish.

A move through the 50-day EMA ($0.00001041) would support a breakout from R1 ($0.00001051) to give the bulls a run at R2 ($0.00001062). However, failure to move through the 50-day EMA ($0.00001041) would leave S1 ($0.00001025) in view.

SHIBUSD 181022 4 Hourly Chart

This news is republished from another source. You can check the original article here.

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