- MOODENG and MEW crypto jumped over 30% after Robinhood’s listing.
- MEW was at higher risk of retracement if spot market demand remains muted.
Moodeng [MOODENG] and cat in a dogs world [MEW], extended their rallies to over 30% on the 23rd of May. This was after their listing on Robinhood, one of the most popular retail trading platforms, on the 22nd of May.
The pump lifted the memecoins into top daily gainers across the Solana [SOL] ecosystem on the 23rd of May. But what’s next for traders eyeing these viral gems?
What’s next for MEW crypto, MOODENG?
For MOODENG, the memecoin jumped 37% on the 22nd of May but gave back some of the gains at the time of writing.
Since the 8th of May, the baby hippo-themed coin has recovered by over 700%. That’s a 8x returns after it tanked over 90% in Q1 and slammed as a ‘vaporware’ by CT (Crypto Twitter).
From a technical perspective, the rally was not over. The price action formed a bullish rising triangle pattern. If validated, a breakout from the pattern may push the memecoin higher to $0.50 — A potential 44% gain.
The massive capital inflows and strong demand, as shown by positive readings on the CMF (Chaikin Money Flow) and RSI (Relative Strength Index), reflected bulls’ leverage.
MEW speculators were also in a great position for extra gains. At press time, MEW was up over 26% in the past 48 hours.
Interestingly, the extended rally has emboldened bulls after MEW reclaimed the 200-day EMA (Exponential Moving Average, blue) and flipped a previous resistance of $0.0035 into a support (white zone).
Now, the memecoin is back to the 2024 Q1 price range of $0.0035 and $0.0060. Simply put, MEW may tag the upper-range, potentially offering an extra 32% if hit.
However, the bullish outlook above may be invalidated if MOODENG breaks below the triangle pattern and MEW slips below the $0.0035 support.
But degens front-ran the Robinhood MEW listing with massive leverage, as shown by a sharp spike in aggregated Open Interest (OI).
On the contrary, spot CVD declined sharply, indicating that the rally was mainly driven by leverage. If the spot market demand fails to improve, a sharp pullback may follow.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
