Dogecoin (DOGE) and Shiba Inu (SHIB) Struggle Amid Bitcoin Correlation and Bearish On-Chain Metrics
The post Dogecoin (DOGE) and Shiba Inu (SHIB) Struggle Amid Bitcoin Correlation and Bearish On-Chain Metrics appeared on BitcoinEthereumNews.com.
The leading meme coins, Dogecoin (DOGE) and Shiba Inu (SHIB), have shown stagnant performance amidst the recent market downturn. Despite other altcoins experiencing relief rallies, DOGE and SHIB have failed to capitalize on these rebounds. The strong correlation between these meme coins and Bitcoin is one factor behind their lackluster market performance. Exploring Dogecoin and Shiba Inu’s prolonged stagnant phase amidst market shifts. Analyze the factors contributing to their performance and future prospects. Dogecoin and Shiba Inu’s Sideways Trade Explained Dogecoin and Shiba Inu’s stagnant price movements can largely be attributed to their near-perfect correlation with Bitcoin. According to market intelligence platform IntoTheBlock, both DOGE and SHIB exhibit a price correlation close to ‘1’ with Bitcoin, underscoring their dependency on the flagship cryptocurrency’s movements. This strong positive correlation means that both meme coins have mirrored Bitcoin’s recent lackluster performance. Additional on-chain metrics further emphasize the bearish outlook for both DOGE and SHIB, contributing to their uneventful price action. For Dogecoin, the data indicates a decline in net network growth, demonstrating a lack of new users entering the ecosystem. Moreover, the activity of Dogecoin whales has diminished, with fewer large transactions, suggesting waning investor confidence. TRUSTED BY COINOTAG,Did you missed $MEME, $PEPE or Bitcoin? No worries! Click here to sign up chosen altcoin exchange! Similarly, Shiba Inu’s on-chain data also points towards bearish tendencies. The ‘Concentration’ metric reveals that SHIB whales and investors are offloading their holdings instead of accumulating more, leading to cautious sentiment around the crypto asset. Reflecting their recent underperformance, both Dogecoin and Shiba Inu have slid down the crypto rankings by market cap. According to CoinMarketCap, Dogecoin has fallen to the ninth position, while Shiba Inu has dropped to thirteenth. Prospective Upswings for DOGE and SHIB Despite the current stagnant phase, optimism remains for Dogecoin and Shiba…
Filed under: News - @ June 29, 2024 11:28 pm