Crypto roundup: Dogecoin looks very bearish; gaming tokens lead market lower

Dogecoin has hit a two and a half week low — and one legendary trader has spotted a classic bullish-to-bearish trend reversal pattern.

Peter Brandt, a veteran commodities trader who correctly called Bitcoin’s brutal January 2018 crash, says Dogecoin is in a “head and shoulders” pattern.

5…4…3…2…1…0

OK trolls, begin trolling$DOGE pic.twitter.com/AzUXZjWyX9

— Peter Brandt (@PeterLBrandt) July 8, 2021

The implication here is that the price action is in danger of falling through the “neckline” that was acting as support, and a huge plunge was possible.

Must be pointed out always that a pattern is not a pattern until it is completed. Then at that point a completed pattern can do several things:
1. Fail – real move in other direction
2. Morph and wear everyone out
3. Fulfill its implications

— Peter Brandt (@PeterLBrandt) July 8, 2021

At lunchtime (Sydney time) Dogecoin was trading for US20.2c, down 7.9 per cent from yesterday.

That’s the lowest level for the memecoin since June 22, and then it bounced back pretty quickly.

The token rose from around 7c to over 40c in the space of just a few days in mid-April.

Cryptocurrency Prices by Coinlib

The rest of the crypto market was in a funk as well. BTC was down 1.6 per cent to US$32,822, while Ethereum had dropped 7.7 per cent to US$2,100.

LEO Token was up 6.6 per cent, 0x coin up 2.6 per cent and Theta Fuel had risen 2.0 per cent — but every other coin in the top 100 was in the red, according to Coinmarketcap.

Gaming tokens Axie Infinity, Decentraland and Enjin Coin were the worst performers, falling 23.6, 22.8 and 17.7 per cent, respectively, as some heat went out of the sector.