Dogecoin Price Analysis: Will DOGE Price Hit $0.1 Mark Before May 2023 End?
The ongoing correction in Dogecoin price takes a significant halt at the combined support of $0.071 and a lower trendline of the wedge pattern. In the daily chart, the candles show several lower price rejections at the aforementioned support indicating the sellers are struggling to follow the bearish path. These reversal signs hint the DOGE price is likely to witness a bullish upswing in the coming week which may open the path to a bullish recovery.
Key Points
– A bullish breakout from the wedge pattern could accelerate the underlying bullying pressure
– The 200-day EMA aligned with the $0.082 level creates a strong resistance zone
– The 24-hour trading volume in the Dogecoin coin is $314.5 Million, indicating a 52% gain.
By the press time, the Dogecoin price traders at $0.0725 and continue to move sideways above the wedge pattern support trendline at $0.071 local support. Amid the ongoing uncertainty in the crypto market, this memecoin shows wavering price action trying to find support at this downsloping trendline.
If the bullish momentum rises, the coin price will surge 3-5% to challenge the overhead trendline. The wedges pattern currently governs the ongoing correction phase and this may extend the dogecoin lower until its intact.
However, in theory, this pattern is one of the famous bullish reversal patterns which encourages a significant rally upon the breakout of its resistance trendline. Thus, the Dogecoin price is poised to break the overhead trendline as a signal to uptrend resumption.
This breakout drives a potential rally to $0.082, $0.092, or $0.1045.
Technical Indicator
Relative Strength Index: Despite sideways price action, the 4-hour RSI slope rising indicates the underlying buying pressure in the Doge price is increasing. This bullish divergence increases the possibility of an upswing to the overhead trendline.
Exponential Moving Average: The 20-day EMA acts as a dynamic resistance against the rising Dogecoin price.
Dogecoin Price Intraday Levels
– Spot rate: $0.07212
– Trend: Bullish
– Volatility: High
– Resistance levels- $0.0748 and $0.0812
– Support levels- $0.067 and $0.06
The ongoing price correction of Dogecoin appears to be taking a pause at a crucial support level, indicating that there might be a potential bullish reversal in the near future. This analysis aims to explore the various factors that could influence the price of DOGE and provide insights into whether it may hit the $0.1 mark before May 2023 end.
The presence of the support trendline at $0.071 and the strong resistance zone at $0.082 created by the 200-day EMA suggests that Dogecoin’s price will have to break through significant barriers to reach the $0.1 mark. The bullish breakout from the wedge pattern will need to be strong enough to overcome these obstacles in order for the price to make a sustained move upwards.
Currently, the Dogecoin price is trading at $0.0725 and struggling to find a solid footing above the support trendline. If the support continues to hold, there is a chance that the price could surge by 3-5% to challenge the overhead trendline. However, any hopes of reaching the $0.1 target will require a strong breakout from the resistance trendline governing the current correction phase.
The technical indicators for Dogecoin reveal mixed signals. The 4-hour RSI is showing a bullish divergence, which suggests that the buying pressure in the market is increasing, potentially leading to an upswing in price. On the other hand, the 20-day EMA is acting as a dynamic resistance for the increasing Dogecoin price, which could hinder any upward momentum.
In summary, the coming weeks will be crucial in determining whether DOGE can hit the $0.1 mark before May 2023 end. The price must maintain support around the $0.071 level and break through key resistance at $0.082 for this to become a possibility. Traders should keep a close eye on market conditions and technical indicators to assess the likelihood of this happening.
