Most memecoins are facing resistance. Is your favorite token one of them?
The whole market started trending as 2023 kicked off. Whether it was a relief rally or an indication of a run, memecoins
followed the market trend and made huge moves! In this week’s technical analysis
, let’s check the price charts of DOGE, SHIB, BABYDOGE, CATE, FLOKI and SAITAMA in the 4-hour time frame to analyze their current performance.
This week, DOGE
is looking to extend to the upside. At the time of writing, the coin is testing the resistance
level for a breakout.
DOGE needs to break out of its consolidation
pattern in order to see further movement to the upside. The bulls
need to stay above the area of interest shown in the chart to extend toward the $0.10 resistance zone. Rejection from this area will keep the token in a holding pattern.
Also Read: How to Use Market Structure in Trading?
Last week, SHIB
at the 1,250 level and fell to its nearest support
zone. The token is now looking for a chance to move upward.
SHIB is on a quest to go above the area of interest. The bulls need to close the price above this level and hold to see another push to the upside. At the time of writing, the token has not cleared resistance, and it is possible to see a rejection at this level.
This week, BABYDOGE
is one of the memecoin pack leaders! The token has been in a strong uptrend since our last week’s analysis
At the time of writing, there are no major signs of a reversal. The BABYDOGE bulls
’ next resistance target is about 10% away. The bears
’ reaction must be strong enough to begin a reversal.
Also Read: How to Invest in Crypto in Uncertain Times?
is following in the footsteps of DOGE! At the time of writing, the token is in a consolidation
pattern setting up for a breakout.
The area of interest remains critical. If the bulls
successfully close above this level, expect to see a push towards the September low! However, another rejection from this level would shift the market structure in favor of the bears
Also Read: How to Make Profit by Understanding Crypto Market Psychology?
Last week, FLOKI
was sitting at a major resistance
level. Since then, the token has made a break to the upside with no signs of slowing down.
At the time of writing, FLOKI has found short-term resistance
. A correction from this level would be healthy. However, the bears have some work to do in order to push the price to the nearest support
This week, SAITAMA
is also in a consolidation
pattern. Since our last week’s analysis
, the token has found support.
This will be a battleground between the bears
. The bulls need to close and hold the price above the resistance
level to see a move to the upside. While the bears would need to make a close below the support
Also Read: The Complete Guide to Crypto Portfolio Management
Here is a summary of the above:
- DOGE is still attempting to break above the resistance.
- SHIB continues to support its uptrend.
- BABYDOGE is sitting at a minor resistance
- CATE might be setting up for a big move.
- FLOKI has made a break to the upside.
- SAITAMA seems to be in a consolidation pattern.
Writer’s Disclaimer: This article is based on my limited knowledge and experience. It has been written for educational purposes. It should not be construed as advice in any shape or form. As always do your own research
This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators. This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice. The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap. CoinMarketCap is not responsible for the success or authenticity of any project, we aim to act as a neutral informational resource for end-users.