Crypto Price Prediction 1/5: Meme Coins Suffer Double-Digit Losses Amid Market Sell-Off

Crypto Price Prediction: During Wednesday’s trading session, the cryptocurrency market witnessed heightened selling pressure with the Bitcoin price dropping to a two-month of $56500. The notable drop ahead of the Federal Reserve’s interest rate decision later in the day accentuates growing inflation concerns in the U.S.

According to the latest data from Santiment, a notable uptick in discussions surrounding Bitcoin and Ethereum has been observed today compared to other assets. This decline sparked fears among traders, yet simultaneously presented a ‘buy the dip’ opportunity for counter-traders.

🗣️ #Bitcoin and #Ethereum are seeing significantly higher discussion compared to other assets today. Traders have showed a sizable amount of fear with $BTC dropping as low as $59.5K and $ETH as low as $2.9K today. Counter traders have used these signs as a great #buythedip… pic.twitter.com/6pRAFHidcD

— Santiment (@santimentfeed) April 30, 2024

However, the Meme cryptocurrencies took a heavy hit in this sell-off with the leading coins of this sector, such as Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe coin (PEPE) recording double digital loss. Do they provide the best dip opportunity?

Also Read: Memecoins Shiba Inu and Dogecoin Made Millionaires, Here’s Why This Defi Algo Token Will Too

1)Dogecoin (DOGE)

Dogecoin (DOGE) began as a humorous alternative to traditional cryptocurrencies but quickly gained a substantial following. Originally created in 2013 as a parody based on a popular internet meme featuring a Shiba Inu dog, Dogecoin’s informal presentation has helped it stand out in the crowded cryptocurrency market.

The Dogecoin price has been under a selling spree for the past nine days recording a fall of nearly 26% from $0.164 to $0.121. By press time, this largest meme cryptocurrency holds a market cap of $17.84 Billion, with a 24-hour trading volume of $1.74 Billion.

The falling price has recently breached a two-month support and 50% retracement level, favoring sellers to prolong the downfall. If the downward momentum persists, the meme coin buyers could seek support at the $0.122 and $0.107 levels.

Also Read: DOGE Price Forecast: Can Dogecoin Finally Reach $0.2 On Rising Whale Interest?

2) Shiba Inu (SHIB)

Shiba Inu (SHIB) is a prominent example of a meme coin, created as a decentralized, community-driven cryptocurrency on the Ethereum blockchain. Originally inspired by the Shiba Inu dog breed, SHIB aims to differentiate itself through strong community backing and innovative ecosystem developments.

Amid the broader market sell-off, the Shiba Inu price recently reverted from the $0.0000282 level, a new lower high formation in the daily chart indicating the traders’ sentiment persists on selling this asset on a bullish bounce.

The bearish turnaround has plunged the SHIB value 25.4% to currently trade at $0.0000208, while its market cap plunged to $17.25 Billion. The coin price trading below the 61.8% Fibonacci retracement level indicates a higher possibility for sellers leading the correction trend to $0.0000184, followed by $0.0000157.

Also Read: SHIB News: Shiba Inu Community Burns 1.69 Bln Coins In April, What’s Next?

3) Pepe Coin (PEPE)

Pepe Coin (PEPE) is an ERC-20 meme cryptocurrency, which derives its identity from the iconic Pepe the Frog meme. For the past seven weeks, the PEPE price witnessed a steady downtrend with an active downsloping trendline acting as a dynamic resistance.

On April 25th, the PEPE price witnessed its latest reversal from the aforementioned resistance at $0.000008 triggering a 23.3% loss to now trade at $0.0000062. The 50% retracement at $0.0000058 is currently preventing the asset from a major correction, bolstering bulls to have an upper hand.

However, for bulls to reclaim better control over this asset they must breach the overhead trendline. A successful breakout could push the asset back to $0.00008 high, followed by $0.0000092 and $0.0000108.

Key Takeaway

The Bitcoin price below the $60000 support has accelerated the market selling pressure, with altcoins facing an equivalent heat. Several analysts signaling the Federal Reserve might maintain current interest rates throughout the year are increasing market volatility and preventing the digital assets from forming a firm bottom.