Can Dogecoin, Shiba Inu shake off their double-digit price drops soon?
  • The prices of DOGE and SHIB fell by over 13% and 14%, respectively.
  • Market indicators suggested that SHIB and DOGE bulls may prevail.

The cryptocurrency market was in turmoil last week. Dogecoin [DOGE] and Shiba Inu [SHIB] They are the ones who were most affected.

The price drop of these top meme coins has also led to a sharp decline in their dominance. Does this mean that the prices of these coins will plummet even further?

Dogecoin and Shiba Inu shedding

CoinMarketCap data These two top meme coins were revealed to have experienced double-digit price drops over the last week.

To be precise, DOGE’s value dropped by over 13%, while SHIB’s price plummeted by over 14%. At the time of writing, DOGE was trading at $0.1246, while SHIB was worth $0.00001857.

Meme coins have fallen victim to price corrections, reducing their dominance.

Popular crypto analyst Ki Young-ju recently Tweet This highlights the declining dominance of meme coins over the past few months.

AMBCrypto’s analysis of Santiment data revealed that despite the price decline, weighted sentiment for both SHIB and DOGE has improved, meaning bearish sentiment towards these meme coins has decreased in recent days.

Additionally, social volume has also surged, suggesting investors are talking about Shiba Inu and Dogecoin.

DOGE and SHIB social volume increases

Source: Santiment

Are DOGE and SHIB preparing for further price drops?

Next, we took a look at the daily chart of DOGE to find out what to expect from the meme coin. As per our analysis, DOGE’s Relative Strength Index (RSI) recorded an upswing after touching the oversold zone.

This suggests a trend reversal and DOGE may recover from its recent losses. However, the MACD showed a clear bearish advantage in the market.

Source: TradingView

If DOGE bulls can gain momentum and initiate a trend reversal, investors may soon witness DOGE reclaiming $0.14.

However, if the bearish price trend continues further, DOGE may plummet to $0.117 in the coming days.

Source: Highblock Capital

While the future of DOGE may be looking better, the situation for SHIB looks bearish.

AMBCrypto reviewed data from Glassnode and found that the NVT ratio recorded an increase after a sharp drop, with an increase in the metric meaning the asset is overvalued and signaling further price declines.

SHIB NVT ratio increases

Source: Glassnode

Is your portfolio green? Shiba Inu Profit Calculator

To see if that is true, we checked the daily chart of Shiba Inu. Our analysis shows that SHIB price has hit the lower limit of the Bollinger Band, which often leads to price increases.

Additionally, SHIB’s Money Flow Index (MFI) and Relative Strength Index (RSI) both recorded an upswing, with these indicators suggesting a high probability of a trend reversal for SHIB.

Source: TradingView

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