The meme sector is often viewed as a challenging investment area for cryptocurrency investors due to its high volatility. These assets typically show more dynamic movements than the broader market, making them popular for speculative trading. During the recent June correction, most major cryptocurrencies saw significant bearish periods, testing key support levels. However, given the overall uptrend in the market, this pullback may provide an ideal buying opportunity, especially for meme coins with more vibrant communities.
Meme coins – Dogecoin (DOGE)
Dogecoin, the largest meme coin, is known for its charitable initiatives and active involvement in social media. Over the past three months, DOGE price has shown a steady downward trend under the influence of flag pattern formation.
The correction trend led to the asset falling from $0.228 to $0.124 recording a loss of 46.3% while the market capitalization fell to $17.98 billion. Amid the uncertainty over the weekend, DOGE price is fluctuating sideways in search of support to support the flag at $0.12.
Under the influence of this pattern, DOGE price is likely to witness a 15% recovery and challenge the audible trend line. A successful breakout will indicate the continuation of the uptrend and boost buyers to reach the high at $0.228.
Read also: Dogecoin price analysis: Reasons why selling DOGE below $0.1 is imminent
Dubbed the “Dogecoin Killer,” Shiba Inu has built a massive community that continues to grow, driven by innovative projects and DeFi integrations. Analysis of the daily chart in SHIB shows the formation of a flag pattern. Theoretically, a chart setup is known to trigger a temporary pullback within two trend lines to regain upward momentum.
In the past three weeks, the price of the Shiba inu has fallen from $0.000029 to $0.0000178, registering a 39% decline while the market capitalization has fallen to $10.53 billion. If this pattern holds, memecoin could rise another 22% to attempt a breakout from the resistance trend.
If buyers flip the upper trend line of support, SHIB price could chase the potential target of $0.0000295, followed by $0.0000456.
Read also: Cryptocurrency Headlines of the Week: Bitcoin’s Rally Declines as ETH ETF and Shiba Inu Advance
Inspired by the Pepe the Frog meme, Pepe Coin quickly gained popularity due to its playful branding and strong community-oriented initiatives. Throughout June, PEPE saw a steady downward trend, with its price falling from $0.00001725 to $0.0000113 representing 34.5%.
According to Coin Market Cap, PEPE has a market capitalization of $4.78 billion, while its 24-hour trading volume is $365.79. million. The two sloping trend lines are currently leading the aggressive downtrend. Amid a healthy correction and a bullish flag pattern, the coin price is poised for an upward breakout in the near future.
A close of the daily candle above the upper trend line will signal the end of the current correction. If the buying continues, PEPE price may chase its starting target of $0.0000175, followed by an extended rally to $0.00005.
Read Also: Pepe Coin Price Analysis Points to 40% Upside as Bull Flag Forms Amid Healthy Bounce
Named after Elon Musk’s dog, Floki Inu leverages celebrity influence and strategic marketing. It has a vibrant community involved in charitable initiatives and environmental projects. Amid the recent market correction, FLOKI price saw a V-shaped reversal from the highs at $0.00035.
The bearish shift fell 52% to trade at $0.000165, while the market cap currently stands at $1.6 billion. With the Bollinger Band indicator challenging to the downside, FLOKI price is indicating a high momentum downtrend, with a possible breakout of the 200-day EMA around $0.00014.
However, with the daily chart expected to form a higher high and a higher low formation, FLOKI is likely to see higher order pressure at $0.00014 and $0.00011 support.
Read also: Floki Inu price rise: Smart Money bets on 14 billion tokens, indicates bullish sentiment
A newer sensation in the world of coins, Dojoyvat has quickly gained traction due to its unique and funny branding. Her presence on social media platforms and sharing of viral trends has contributed to her vibrant community and increased adoption.
The Solana-based meme offering saw a bloodbath in June, posting a 59% loss as the price dropped from $4.08 to $1.66. With no clear support in the daily charts that have been tested before, the $1.5 psychological level remains the next best bet for WIF buyers.
For marginal buyers, forming a reversal is crucial before anticipating a sustainable bottom. A bearish crossover between the daily moving averages (20, 50, 100) indicates that the path to least resistance is down.
Away
The meme sector remains a high-risk, high-reward investment area due to its inherent volatility and speculative nature. However, top cryptocurrencies such as Dogecoin, Shiba Inu, PepeCoin, Floki Inu, and Dogwifhat, known for their vibrant communities, are poised for a rebound and may offer significant gains for investors as the broader market uptrend is intact.
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