Dogecoin, Tesla, GameStop – FinTwit Developments to Watch Subsequent Week

TOP FINTWIT TRENDS – DOGECOIN ($DOGE), TESLA ($TSLA), GAMESTOP ($GME) IN FOCUS NEXT WEEK

• Dogecoin could possibly be teed up for volatility with the crypto more likely to get a shoutout on SNL
• Tesla worth motion has struggled to remain afloat however may see renewed shopping for strain
• GameStop seems to be constructive because the inventory varieties what could also be a bullish chart sample

Dogecoin, Tesla, and GameStop are three prime FitTwit tendencies possible price watching subsequent week. These acquainted belongings have garnered a substantial quantity of consideration up to now, however dealer search curiosity has picked up noticeably. Market situations and upcoming occasion threat warrant retaining shut tabs on them as nicely. What key themes are $DOGE, $TSLA, and $GME merchants watching out for within the week forward?

DOGECOIN – DOGE/USD PRICE CHART: 4-HOUR TIME FRAME (11 APR TO 06 MAY 2021)

Chart by @RichDvorakFX created utilizing TradingView

We just lately famous how Dogecoin has been rocketing increased and outperforming different main cryptocurrencies like Bitcoin and Ethereum. Actually, Dogecoin worth motion is pacing a jaw-dropping year-to-date achieve in extra of 10,000% because of its newest spike above the $0.60-mark. Growing demand for the fourth-largest cryptocurrency by market cap has adopted its rising reputation as high-profile executives and celebrities hype the alt-coin. Mark Cuban, for instance, has been tweeting about Dogecoin’s constructive use circumstances and the way the Dallas Mavericks have been on monitor to do 6,000 Doge transactions in April. To not point out, speculative curiosity for Dogecoin has possible mounted with markets centered on Elon Musk (i.e. the self-proclaimed ‘Dogefather’) and his efficiency on Saturday Evening Stay scheduled to kick-off 08 Could at 3:30 GMT.

Crypto merchants may wish to preserve this potential threat occasion on the radar as a consequence of anticipation for Elon to pump Dogecoin. Doge worth motion has consolidated from its document excessive round $0.69, however the cryptocurrency appears to be constructing technical assist barely above the psychologically-significant $0.50-mark. Invalidating the short-term descending trendline might carry a retest of all-time highs into focus earlier than merchants contemplate a push towards $1.00. A breakdown of nearside assist may encourage a deeper push by Dogecoin bears towards the 20 April swing excessive. Politicians speaking about regulating the cryptocurrency market stands out as one large risk for Dogecoin and its friends. To that finish, SEC Chair Gary Gensler just lately acknowledged throughout a congressional testimony {that a} regulatory framework needs to be set for crypto markets. Moreover, US Treasury Secretary Janet Yellen additionally made a remark simply the opposite day how cryptocurrency regulation ‘is a subject nicely price addressing.’

TESLA – TSLA PRICE CHART: WEEKLY TIME FRAME (NOV 2019 TO MAY 2021)

Chart by @RichDvorakFX created utilizing TradingView

Tesla, one other FinTwit favourite, is more likely to steal some limelight subsequent week as nicely. Buyers won’t solely be judging the talents of Elon Musk as a comic, however extra importantly, additionally stand to scrutinize his basic demeanor throughout the SNL skits. Any off-the-cuff remarks made by Tesla’s chief-executive might dampen investor confidence and harm TSLA shares. Within the grand scheme of issues, nevertheless, markets could pay nearer consideration to different elementary drivers weighing on Tesla’s inventory worth. TSLA worth motion has confronted notable headwinds because the begin of the yr as merchants unwind publicity to large tech amid rising rates of interest.The 66-basis level ascent by ten-year Treasury yields over the previous few months has pressured inventory market multiples and weighed negatively on firms with lofty valuations like Tesla specifically.

Though, the newest spherical of quarterly earnings posted by Tesla detailed stable money circulation development. This stands to assist Tesla worth motion preserve altitude extra broadly. The bullish trendline prolonged via a string of upper lows, along with the 38.2% Fibonacci retracement stage of its March 2020 to January 2021 buying and selling vary, present potential to maintain TSLA afloat. Taking out year-to-date lows may subsequently see a sustained slide towards the $400-price stage. However, eclipsing final month’s excessive close to $780 might carry all-time highs again on the radar.

GAMESTOP – GME PRICE CHART: DAILY TIME FRAME (29 DEC 2020 TO 06 MAY 2021)

Chart by @RichDvorakFX created utilizing TradingView

GameStop has seen little love because the popping of its short-squeeze fueled bubble. GME shares are actually down roughly -65% from its 28 January peak close to the $480-price stage. The online game retailer may begin trending on FinTwit once more, nevertheless, in gentle of rising search curiosity and a compelling technical backdrop for the inventory. It seems that GameStop could possibly be nearing the top of its consolidation section and on the cusp of a breakout again increased. That is highlighted not solely by two converging trendlines, but in addition the Bollinger Band squeeze. Bullish development assist connecting the upper lows on 26 February, 25 March, 13 April and 04 Could has potential to maintain guiding GameStop increased. GME worth motion additionally appears to be flirting with a topside break of trendline resistance.

Reclaiming the 50-day easy transferring common might reinvigorate GameStop bulls and ignite an even bigger rally. This may carry the $260-price stage into focus if a resumption of shopping for pressures do in truth materialize. Merchants could wish to have a watch out for modifications in sentiment and threat urge for food to assist gauge whether or not GameStop heads increased or decrease subsequent. Seeking to the DailyFX Financial Calendar, we will see that the discharge of month-to-month inflation and retail gross sales information is scheduled for launch within the week forward. These sometimes high-impact threat occasions might weigh materially in the marketplace’s broader path and likewise strongarm GameStop’s inventory worth.

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— Written by Wealthy Dvorak, Analyst for DailyFX.com

Join with @RichDvorakFX on Twitter for real-time market perception