Dogecoin and shiba inu test lower levels after key support gives way

Core Insights - Dogecoin and Shiba Inu experienced declines during U.S. trading hours, driven by increased sell volume that pushed both tokens below significant technical levels, indicating a broader weakness in the meme coin segment while ether underperformed compared to other major cryptocurrencies [1][2] - The observed divergence in performance suggests a capital rotation and de-risking trend rather than a panic selling scenario, as broader crypto benchmarks remained relatively stable [1] Group 1: Market Dynamics - Ether (ETH) showed continued softness, often viewed as a proxy for risk appetite in altcoins, which contributed to higher-beta assets like meme coins facing significant selling pressure [2] - Dogecoin fell below the psychological threshold of $0.13 after failing to maintain above $0.1331, confirming a pattern of lower highs and establishing a descending price channel [2] - Trading volume for Dogecoin surged by 53% to 479.7 million tokens, indicating active distribution rather than a result of low liquidity [2] Group 2: Technical Analysis - The previous support level around $0.1296 has now turned into resistance, reinforcing a bearish market structure for Dogecoin [2] - Shiba Inu followed a similar trend to Dogecoin, slipping below short-term support and failing to reclaim the overhead supply, indicating sector-wide pressure rather than isolated weakness in individual tokens [2] - The inability to reclaim broken levels raises the likelihood of continued movement towards lower demand zones unless there is decisive buying activity [2]