So far, Dogecoin has increased by over 30% since the start of the year. It traded under a critical resistance for two weeks before pushing higher this week. Now trying to climb above $0.1.
Trading volatility has been quite moderate for Dogecoin compared to some low-cap cryptocurrencies that have witnessed a massive surge in volatility over the past weeks. It seems to be gathering liquidity for a big wave, which may occur sooner than later.
Although the trend appears bullish on the daily time frame despite the low buying volume in the market.
A close look at the market structure suggests that the bears are not giving up as they look for an opportunity to initiate a short. With the current situation of things, the bears may suffer more if the bulls continue to regroup well.
The $0.11 level, marked as last December’s resistance, remains a solid break level for a massive rally. Until then, Dogecoin is most likely to witness a series of choppy price actions on its way up. As long as the price trades above the $0.67 level, which acts as the recent bounce level, Dogecoin will remain bullish.
However, it still looks cheap and, at the same time, provides a lot of discounts for long-term buyers. The price is up by 7% in a week.
DOGE’s Key Level To Watch
Doge trades slightly below the $0.094 resistance level. If the price increases above the weekly high of $0.099, it would target the $0.1 and $0.11 levels. The higher resistance level to keep in mind is $0.15 in case of continuation.
The build-up maintains slow and steady movement. If the volumes continue to drop alongside volatility, the area of interest would be $0.080 and $0.067 on the downsides. It is then followed by $0.06. A continuous decrease will result in a catastrophic sell-off.
Key Resistance Levels: $0.1, $0.11, $0.15
Key Support Levels: $0.080, $0.067, $0.06
- Spot Price: $0.094
- Trend: Bullish
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
Image Source: igorigorevich/123RF // Image Effects by Colorcinch
