Meme tokens shiba inu (SHIB) and dogecoin (DOGE) gained over 15% in the past 24 hours as risk-on behavior returned to crypto markets.
The rally came as ether (ETH) broke the $2,000 level on Sunday night ahead of the network’s Merge event expected in September. Bitcoin (BTC) rose to over $25,000 for the first time since June.
SHIB rose as much as 30%, while DOGE gained 15%, before a price reversal in European morning hours as investors took profits. DOGE entered the top ten cryptocurrencies by market capitalization with a total valuation of just over $10 billion, ahead of Polkadot’s DOT tokens.
Price charts show SHIB saw resistance at the $0.00001744 mark, where it has previously seen price reversals. Selling pressure could see prices drop to Saturday's $0.00001277 level, where the tokens previously saw resistance.
SHIB show reversal at previous resistance levels. (TradingView)
The gains could be attributed to irrational exuberance as no notable catalyst drove a rally in the two tokens at the time of writing. Futures tracking the two currencies saw over $25 million in liquidations, data shows, suggesting part of the rally was led by futures bets instead of spot.