Are Meme Coins Reviving? Dogecoin, Shiba Inu, Pepe Rebound Together

▲ Dogecoin (Dogecoin, DOGE), Shiba Inu (Shiba Inu, SHIB), Pepe (Pepe, PEPE) ©

Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) are showing a synchronized rebound after a recent correction, attracting renewed buying interest into the memecoin market. This is further supported by an analysis suggesting improved market sentiment, partly due to expectations of a potential peace agreement between the United States and Iran.

According to FXStreet, an investment media outlet, on May 21 (local time), Dogecoin, Shiba Inu, and Pepe are continuing their recovery trend after recent declines, holding their technical support levels. The outlet explained that with the stabilization of the Bitcoin (BTC) market and a revived preference for risk assets, upward pressure has formed across the memecoin sector.

Dogecoin faced resistance around its weekly resistance level of $0.119 last week, falling approximately 11% until the beginning of this week. Subsequently, it successfully rebounded from the key support zone of $0.102 and is currently trading above $0.105. The outlet analyzed that if DOGE breaks above its 200-day Exponential Moving Average (EMA) of $0.106 on a daily closing basis, the possibility of retesting the $0.119 resistance level opens up. While the Relative Strength Index (RSI) is in a neutral zone around 49, the Moving Average Convergence Divergence (MACD) remains in bearish territory, suggesting that upward momentum could be limited.

Shiba Inu confirmed support around the lower boundary of its box range at $0.0000056 and is continuing its rebound. Currently, SHIB is trading above $0.0000058, with the mid-range of the box at $0.0000059 and the 50-day EMA at $0.0000061 being presented as the next target levels for further ascent. The RSI has recovered to around 41, showing signs of slowing bearish momentum, but the MACD is still in the negative zone, indicating that it is not a strong signal for a trend reversal.

Pepe recently rebounded from the $0.0000035 support level and is currently trading above $0.0000037. The outlet analyzed that if PEPE closes above its 50-day EMA of $0.0000038, there is potential for further upside to the 200-day EMA of $0.0000040. The RSI shows a decrease in bearish strength, but the MACD still maintains a negative signal. Conversely, if it undergoes another correction, a retest of the $0.0000035 support level was also mentioned as a possibility.

FXStreet assessed that while all three memecoins are showing short-term rebound trends, whether they break above key moving averages will be a crucial variable for future trend reversals. It added that Bitcoin's trajectory and changes in geopolitical risks could significantly impact short-term price direction.

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