DOGE and SHIB are facing early pressure as focus shifts to US inflation

The Chiba Inu (SHIB) coin was up 2.97% on Wednesday. After ending Tuesday’s session flat, SHIB stock ended the day at $0.00000935.

After tracking DOGE, SHIB stock rose to an early high of $0.00000939. SHIB first broke the major resistance level (R1) at $0.00000926 before sliding back to the afternoon low at $0.00000902. However, SHIB avoided the first major support level (S1) at $0.00000894, and SHIB again broke through R1 to return to the day’s high of $0.00000939 before retreating.

The bullish sentiment from Tuesday extended to provide the beginning of a breakout for the mid-week session. Hopes that the Chinese government will ease lockdown measures in the wake of nationwide protests has boosted demand for cryptocurrencies. FTX contagion risks and hopes about the Fed’s December pivot also provided support.

Late in the day, the less hawkish Fed Chair Powell backed a second wave of buying for a solid gain for the session. Fed Chair Powell talked about slowing the pace of rate hikes, confirming market bets on the Fed’s pivot.

The less hawkish comments capped a bullish session for US stock markets, with the Nasdaq Composite and S&P500 seeing gains of 4.41% and 3.09%, respectively.

However, there have been no updates on Twitter’s DOGE integration plans to support a return to $0.11.

After the market’s reaction to Fed Chairman Powell’s remarks on Wednesday, US economic indicators are likely to influence today. Inflation figures and personal spending will also attract interest as well as FOMC members’ speech.

Rising inflation and spending, along with hawkish FOMC members’ talk, will test buyer demand. Investors will also need to track the news feed for Twitter updates on their crypto integration plans.

Dogecoin (DOGE) price action

At the time of writing, DOGE stock is down 1.69%, at $0.1048. A mixed start to the day saw the DOGE climb to an early high of $0.1079 before falling to a low of $0.1038.

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