- Dogecoin price has been under some downward pressure for most of November.
- DOGE price sees bulls not able to wait for solid support to restart an uptrend.
- If bulls could regain control off the green ascending trend line, expect a restore of the uptrend.
Dogecoin (DOGE) has seen its price devalue rapidly because of global headwinds that have seen investors dive into safe havens like the yen and the greenback. With the downturn, the bulls’ new game plan seems to have been to wait for momentum to build up at around $0.20, for the start of the next uptrend. Price action today, however, shows a pickup of buy-side volume and bulls targeting $0.26..
Dogecoin price sees knee jerk reaction from bulls to squeeze out bears
Dogecoin price has seen a pickup in buy-side demand by bulls impatient to get long prior to DOGE price reaching $0.20. . The Relative Strength Index (RSI) shows a knee-jerk reaction from buyers that is also being translated into a break above the green ascending trend line on the chart. A close above that line would be necessary to prove that a new uptrend cycle had begun.
DOGE price was stuck in a downtrend for most of November, and with investors choosing safe havens like the Japanese yen and greenback the trend weighed onDOGE/USD and accelerated the correction to the downside these past few days. As the dollar takes a breather, bulls are seeing their chance to kick the uptrend back into gear and buy into Dogecoin price action.
DOGE/USD daily chart
DOGE bears will be trapped by the knee jerk reaction of bulls leading to some potential short-covering This, in turn, will see additional demand-side volume pick up speed, and a quick return to $0.26. A break above that level will see accelerated buy-in action as more bulls join the uptrend. This could eventually see a bullish breakout towards $0.35 by the end of next week and almost 56% of gains in the making if bulls can close above the green ascending trend line today.
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