Bearish Signals Flash for Cardano, Dogecoin, & These Altcoins: What’s Next?

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After the crypto markets remained consolidated for a while, the fresh week’s trade began with a fine bullish push. The global crypto market cap rose above $1.26 trillion, suggesting a sensible recovery in market dynamics. The bulls remain in a favourable position as the Bitcoin price remains firmly above $34,000. Besides, altcoins are also gaining traction as some of them are closer to triggering a fine breakout. 

Amid the bullish sentiments hovering within the markets, bearish clouds are hovering over some of the cryptos as bulls shift their focus away from these tokens.

The 24-hour trading volume has spiked by over 7%, which is largely dominated by buyers. Besides, BTC dominance is slightly plunging, indicating the growing strength of the altcoins. While the markets are pretty optimistic about the upcoming trend, an indicator is flashing a massive sell signal for Cardano and popular memecoins. 

A well-known analyst, Ali, shared the data where the TD sequential indicator has been flashing a sell signal for Cardano (ADA), Shiba Inu (SHIB), Dogecoin (DOGE), and Injective (INJ), suggesting a minor correction for these tokens.

Cardano has been trading below $0.3 for over a month without undergoing any major moves. Therefore, the traders could have become pessimistic and, hence, shifted their focus away from ADA. A similar trade set-up is observed with the Dogecoin (DOGE) price as the token is unable to break above the resistance after reaching the edge of the consolidation.

On the other hand, Shiba Inu’s price has been forming constant lower highs and lows, indicating the growing strength among the bears. And, after a fine price rise, the Injective bulls appear to have exhausted themselves to a large extent, which may validate the bearish scenario. If the prices of these altcoins start to drop, as suggested by the analyst, all the liquidity is expected to flow back to the BTC price, which may further weaken the altcoins in the market.