|

Dogecoin price fading without the celebrity hype

  • Dogecoin price is now locked below crucial moving averages.
  • Ascending triangle has finally resolved to the downside.
  • DOGE Relative Strength Index (RSI) still not at an oversold reading on the daily chart.

Dogecoin (DOGE) price is frustrating the bullish narrative and making the grand forecast of $1 by the end of 2021 look impossible. A failure to hold the lower bound of the ascending triangle and the ensuing collapse below the flattening 50-day simple moving average (SMA) for the first time since mid-December 2020 has shifted the bias from neutral to bearish in the short-term.

Dogecoin price faces mounting technical barriers

List all of Dogecoin’s supporters, Elon Musk, Mark Cuban, Gene Simmons, Lil Yachty, and Mia Khalifa, among others, lent their voice to the DOGE  wave. The problem is that celebrity popularity only carries so much weight in the markets. As a result, since early March, the altcoin has struggled to get price traction and finally succumbed to selling pressure last week.

Price rolling over under moving averages is never a good development, and that is precisely the case on the 12-hour chart. Over the last six days, DOGE has struck resistance at the confluence of the 50 twelve-hour SMA and the 100 twelve-hour SMA at $0.056.

A break in Dogecoin price will not find credible support until the 0.618 Fibonacci retracement level, an advance from the November 2020 low to the January high at $.040, which represents a 25% decline from the current price. The next reliable support appears at the 100-day SMA at $0.036.

DOGE/USD 12-hour chart

DOGE/USD 12-hour chart

Bullish projections face resistance at $0.056 and then the ascending triangle’s upper boundary at $0.064, and the price congestion around $0.066. If bulls have the stamina, the 0.618 Fibonacci retracement of the February plunge at $0.074 is a potential target.

Author

Sheldon McIntyre, CMT

Sheldon McIntyre, CMT

Independent Analyst

Sheldon has 24 years of investment experience holding various positions in companies based in the United States and Chile. His core competencies include BRIC and G-10 equity markets, swing and position trading and technical analysis.

More from Sheldon McIntyre, CMT
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is.  Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).

Sberbank issues Russia's first corporate loan backed by Bitcoin

Russia's largest bank Sberbank launched the country's first Bitcoin-backed corporate loan to miner Intelion Data. The pilot deal uses cryptocurrency as collateral through Sberbank's proprietary Rutoken custody solution.

Bitcoin recovers to $87,000 as retail optimism offsets steady ETF outflows

Bitcoin (BTC) trades above $88,000 at press time on Tuesday, following a rejection at $90,000 the previous day. Institutional support remains mixed amid steady outflow from US spot BTC Exchange Traded Funds (ETFs) and Strategy Inc.’s acquisition of 1,229 BTC last week.

Traders split over whether lighter’s LIT clears $3 billion FDV after launch

Lighter’s LIT token has not yet begun open trading, but the market has already drawn a sharp line around its valuation after Tuesday's airdrop.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.