The Flash Crash Isn’t That Bad

The Dogecoin (DOGE) price has found support after completing a double top pattern. The Shiba Inu (SHIB) price is trying to hold above a crucial horizontal support level.

Dogecoin Price Prediction: Bullish Structure Still Intact

The technical analysis from the six-hour chart shows that the Dogecoin price has been decreasing since creating a double top pattern on Oct. 29 and Nov. 1 (red icons).

The double top is considered a bearish pattern and often leads to a price decrease. Moreover, the pattern was combined with a bearish divergence in the RSI (green line). The downward movement led to a low of $0.077 on Nov. 8. 

The ensuing bounce (green icon) created a long lower wick, considered a sign of buying pressure. Furthermore, the RSI is now oversold.

The previous time it was at this level (green circle) a significant Dogecoin price bounce ensued. The same has happened over the past 24 hours.

If the same occurs this time, the closest resistance would be at $0.108. This is the 0.382 Fib retracement resistance level. It also coincides with a descending resistance line. 

So, whether the Dogecoin price breaks out from the line or breaks down from the $0.077 area instead will likely determine the direction if the DOGE price prediction is bullish or bearish.

SHIBA INU Price Prediction: $0.0000097 Is Make-or-Break Level

The Shiba Inu price has been decreasing underneath a descending resistance line since Aug. 14. It validated it four times between Oct. 27 and Nov. 2, creating long upper wicks each time (red icons), similar to the DOGE price. Such wicks are considered signs of selling pressure. 

The rejection led to a low of $0.0000093 on Nov. 9. The low validated the $0.000097 area as support. This is a crucial support level. A breakdown below it could accelerate the rate of decrease.

Similar to the Dogecoin price, whether the Shiba Inu price breaks out from the resistance line or breaks down from the $0.00000917 support area will determine the future trend.

While the daily RSI may generate bullish divergence (green line), this has not been confirmed yet.

Currently, it seems more likely that the SHIB price will break down from the horizontal support area. If it does, a re-test of the yearly lows at $0.0000071 is expected.

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here.

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Source: https://beincrypto.com/shiba-inu-and-dogecoin-price-prediction-flash-crash-not-catastrophe/