RE: LeoThread 2024-12-31 08:23

[sesmia]

Here’s Why The Dogecoin And Shiba Inu Prices Are Falling Today

Comments

[sesmia]

Dogecoin and Shiba Inu prices are falling today as the year draws to a close, sparking bearish sentiment among investors.

[sesmia]

This price drop is thanks to the sentiment in the broader crypto market and macroeconomic developments.

[sesmia]

Why The Dogecoin And Shiba Inu Prices Are Falling Today

[sesmia]

CoinMarketCap data shows that the Dogecoin and Shiba Inu prices have dropped over 2% and 4%, respectively, today.

[sesmia]

This price drop can be attributed to the tepid Bitcoin price action and macroeconomic factors.

[sesmia]

Dogecoin and Shiba Inu are known to share a strong positive price correlation with Bitcoin.

[sesmia]

As such, the Dogecoin and Shiba Inu prices tend to decline whenever there is a bearish sentiment around the Bitcoin price.

[sesmia]

Legendary analyst Peter Brandt predicted that Bitcoin could crash to as low as $78,000.

[sesmia]

Crypto analyst Rekt Capital also suggested that the flagship crypto could drop to as low as $90,000 if it loses $94,250.

[sirmea]

With the Bitcoin price below $94,250, the crypto is at risk of further declines.

[sirmea]

This has sparked a wave of sell-offs in the crypto market, leading to the decline of the Dogecoin and Shiba Inu prices.

[sirmea]

The foremost meme coins look to be at risk of further price declines if the flagship crypto drops to as low as $90,000.

[sirmea]

Meanwhile, there is a lot of uncertainty in the market, which has also caused the Dogecoin and Shiba Inu prices to fall.

[sirmea]

Heading into 2025, market commentator The Kobeissi Letter noted that there will be a lot of new economic policies, tariffs, and rising inflation.

[sirmea]

In line with this, the market commentator predicts that the theme for next year is stagflation.

[sirmea]

There is also uncertainty around the Federal Reserve’s stance for 2025, as Fed Chair Jerome Powell hinted there will be lower interest rate cuts next year.

[sirmea]

Therefore, investors are skeptical about investing in risk assets like Dogecoin and Shiba Inu.

[sirmea]

Some Positives For DOGE

[sirmea]

Crypto analyst Kevin Capital provided some positives for the Dogecoin price.

[sirmea]

In an X post, he alluded to the DOGE/BTC chart, stating that it looks very interesting.

[sirmea]

The analyst revealed that Dogecoin had come back and tested the macro golden pocket with a huge demand wick. .

[sirmea]

The foremost meme coin is also said to have held the 100 Exponential Moving Average (EMA) on the daily, which the analyst claimed is a very bullish sign.

[sirmea]

Kevin Capital added that the daily Moving Average Convergence/Divergence (MACD) looks to get a fresh cross to the upside, indicating that the Dogecoin price may show strength against Bitcoin for the foreseeable future.

[samiae]

Dogecoin has already shown impressive strength against the flagship crypto this year. DOGE outperformed BTC in 2024 with a year-to-date (YTD) gain of 245%.