Dogecoin and Shiba Inu surge 7 days after crash as US job data sparks bullish sentiment

Dogecoin and Shiba Inu prices have been on a recovery trend since their significant declines at the end of February. This upward movement is attributed to several macro factors that provide a bullish outlook for these meme coins in the long term. The recovery trend is evident as both Dogecoin and Shiba Inu have recorded gains in the last seven days, which is a positive development considering their significant crash a week earlier.

One of the key macro factors driving this recovery is the weak US job data. The US nonfarm payrolls increased by 151,000 in February, which was below the expected 158,000. Additionally, the unemployment rate rose to 4.1%, higher than the anticipated 4.0%. This weak job data is bullish for Dogecoin and Shiba Inu prices because it could force the US Federal Reserve to ease its quantitative tightening policies. When the labor market looks weak, the Fed may be compelled to implement rate cuts, which sparks a bullish sentiment among investors. This sentiment encourages investors to allocate more capital to risk assets like Dogecoin and Shiba Inu.

Another significant development is the executive order signed by the US President creating the Strategic Bitcoin Reserve and Digital Asset Stockpile. This executive order has further legitimized Bitcoin and other crypto assets like Dogecoin and Shiba Inu. As a result, these meme coins could witness more adoption among retail and institutional investors. Their prices are reacting positively to these bullish fundamentals, which explains the recovery trend seen in the last seven days.

Furthermore, the Office of the Comptroller of the Currency (OCC) has clarified that US banks can engage in crypto custody activities. This development allows financial institutions to custody crypto assets like Dogecoin and Shiba Inu, which is very bullish, especially with Dogecoin ETFs on the horizon. This clarification is expected to boost the adoption of these meme coins.

Crypto analysts have also provided insights into the potential future movements of Dogecoin and Shiba Inu. Trader Tardigrade revealed that Dogecoin’s monthly candle has formed a doji, mirroring the same position in the previous cycle. This doji might kick off a DOGE bull run, similar to the massive spike in the 2017 bull run. The analyst also stated that