Why Dogecoin Consolidation May Lead to Explosive Upsurges

ByDawn Pipkin

Apr 4, 2022
  • Dogecoin has its price steady beyond the demand zone at $0127 – $0.137, hinting at upswings.
  • Enthusiasts might expect a 35% from Dogecoin to $0.194
  • A daily candle close below $0.127 will print a lower low, invalidating DOGE’s bullish narrative.

Dogecoin price hints at price surges as the original meme coins steadies beyond a critical support area. The sideways actions will likely lead to an exponential upsurge that overcomes immediate obstacles.

DOGE Price Ready for Breakout

Dogecoin saw its price gain 40% between 13 March and 28 March, setting a swing high around the $0.153 value area. The explosive surge formed a demand area (stepping stone) that propelled the uptrend higher.

This foothold stretches between $0.127 and $0.137. Moreover, DOGE hovers beyond this territory at this publication. Further consolidation beyond this area is vital in catalyzing a bullish action for Dogecoin.

That will see the crypto towards the nearest blockade at the weekly resistance at $0.163, then $0.194. Overpowering these hurdles will clear the road for market makers to propel Dogecoin beyond $0.194 to gather buy-stop liquidity beyond the zone. Such a development will trigger a local higher pattern and likely cap further upswings from the altcoin.

That would translate to a 50% ascent from DOGE’s current level – $0.144. Market players will likely book profits after the highs, translating to retracements.

Despite the bullish narrative for DOGE from a technical view, a sudden Bitcoin crash might lead to downswings. That would see the original meme coin resorting to downswings.

However, a daily candle close beneath $0.127 will form a lower low and annul the bullish case for DOGE. Such a development might translate to more plummet in Dogecoin towards the support level at $0.109.

Meanwhile, Dogecoin trends will depend on the overall crypto market sentiment. For now, the global crypto market capitalization reflects bearishness, standing with a 0.20% 24hr loss at $2.14 trillion.

Moreover, Bitcoin lost ground overnight, trading with a 0.06% daily loss at $46,148.52. BTC has to maintain beyond $46K for near-term bullishness. Plunging beneath this barrier will trigger downswings in alts, including Dogecoin.

Stay tuned for crypto news.

The information provided on this website should not be interpreted as financial or investment guidance and may not embody the perspectives of Forex Tools Trader or its contributors. Forex Tools Trader does not hold responsibility for any financial setbacks experienced due to the use of information provided on this website by its writers or patrons. It's essential to thoroughly investigate and make informed decisions before entering any financial commitments, particularly concerning third-party reviews, presales, and similar ventures. The content you are viewing may be sponsored content, read our full disclaimer to learn more.

Don't Miss Out!

Artificial Intelligence Trading Software

CypherMindHQ Trading Robot, OpenAI (ChatGPT4) Enabled - The Best AI Trading System Ever Created

Sign Up

Try Crypto Engine With a Trusted Broker