Meme Coins Tank Amidst Market Downturn, Fearing Further Decline

Amidst a market slowdown, meme coins are facing recovery challenges. Dogecoin, the top meme coin, encounters resistance and a potential breakdown. Shiba Inu remains trapped in a triangle pattern with a chance of bullish reversal. PEPE, despite an earlier recovery, struggles post-retest and faces a potential upward jump.

Meme Coins Flounder Amidst Market Malaise, Threatening Further Decline

A broad-based market slowdown has cast a pall over the meme coin sector, halting recovery efforts and raising concerns of a prolonged downturn.

Dogecoin (DOGE) Faces Resistance

Dogecoin, the market leader among meme coins, has stumbled upon a significant resistance trendline, impeding its resurgence. The influx of supply due to profit-taking has exacerbated the bearish pressure, leading to fears of a sharp correction.

Sellers are actively testing DOGE's support zone at $0.1430, increasing the likelihood of a breakdown. However, a glimmer of optimism remains with the emergence of a double bottom pattern and a bullish divergence in the 4H RSI indicator, suggesting the possibility of a reversal.

In the event of a bullish surge, DOGE could retest the $0.185 mark or the 50% Fibonacci level. Conversely, a跌破 $0.1430 will expose DOGE to further losses, targeting the $0.1288 support.

Shiba Inu (SHIB) Trapped in Triangular Pattern

Shiba Inu, the second largest meme coin by market capitalization, finds itself trapped within a triangular pattern. The coin has been testing the support trendline for several days, with a series of bearish candles weighing on its prospects.

Despite the bearish momentum, the low-range candles and declining volumes approaching the support line suggest the possibility of a bullish reversal. A breakout from the triangle could propel SHIB towards the $0.00004382 resistance level.

However, a breakdown below the support would likely retest the critical support at $0.00001833.

Pepemon Pepe (PEPE) Struggles Post-Retest

Pepemon Pepe, a lesser-known meme coin, exhibited a brief surge of 21% last week, breaking above a resistance trendline. However, post-retest, PEPE has struggled to maintain its momentum and has experienced an intraday drop of 4.19%.

The failure to surpass the 50% Fibonacci level and the $0.0000080 resistance zone indicates the presence of selling pressure. A bullish reversal in the broader meme coin market could provide PEPE with additional support, enabling it to overcome these hurdles and target the $0.000010 mark.

Conclusion

The current market conditions pose significant challenges for meme coins. Resistance levels, profit-taking, and bearish momentum are impeding recovery efforts, increasing the risk of further declines. However, the emergence of bullish signals in Dogecoin and Shiba Inu suggests that a reversal may not be out of reach.