🔥 DOGE & SHIB Flash Bullish Divergence — Is a Massive Breakout Brewing?
Dogecoin slowly rebounds on Friday following a crypto market downturn.
Shiba Inu imitates the section leader to recuperate quickly over the weekend.
Top meme currencies like Dogecoin (DOGE) and Shiba Inu (SHIB) have fallen further in a falling wedge pattern, lowering market valuation by nearly 5% to $56.34 billion in 24 hours. However, technical outlook and futures data suggest a robust comeback in the following days.
Similar routes for Dogecoin and Shiba Inu
Dogecoin rose over 3% to $0.1763 at press time on Friday. After losing over 10% on Thursday, meme currency is reversing bullishly inside a falling wedge formation.
The wedge pattern is completed by a resistance trendline with peaks on May 23, May 25, and June 5 and a support trendline with lows on May 20, May 31, and June 5.
If the rebound continues, Dogecoin must close above the overhead trendline at $0.1832 to break the bearish hold. A breakthrough surge may face resistance at the 50-day EMA at $0.1946 and the 200-day EMA at $0.2039.
After falling 6.32% the day before, Shiba Inu recovers 3% to $0.00001238 at press time on Friday. Price activity follows a collapsing wedge with peaks at May 23, May 29, and June 5 and lows at May 13, May 19, and May 31.
RSI at 37 on the 4-hour chart supports SHIB's bullish turnaround prospects as it emerges from the oversold zone with a higher low formation diverging from the price decrease between May 31 and June 5.
Conversely, a bearish continuation might find support around $0.00001159, the April 16 swing low.
Long DOGE and SHIB liquidations end
According to Coinglass, Dogecoin liquidations over the last 12 hours total $1.13 million in short and $183K in long liquidations. This is a brief recovery compared to 24-hour liquidations, with $23.78 million long and $3.42 million short.
Long liquidations dropped from $718K in 24 hours to under $800 in 12 hours. Short liquidations continue strong at $14.85K in 12 hours and $50.69K in 24 hours.
