Dogecoin Price Prediction: A $0.02 DOGE by 2023
- Dogecoin has rallied 25% in a week.
- The Volume Profile Indicator has stayed relatively low during the ascension.
- Invalidation of the downtrend will result from a breach above $0.112.
Dogecoin price prediction could be a sucker's rally. Placing a short entry will be justifiable if bulls cannot hold support above $0.085.
Dogecoin price digs deep
Dogecoin price prediction shows reasons to be concerned. Analysts have been eyeing the notorious dog coin throughout the summer as the DOGE price fell into considerably discounted price territory at $0.050. Several bullish outlooks were forecasted, some mentioning the possibility of a potential market bottom near the $0.049 low established on June 19, 2022. Dogecoin price has been able to rally 25% since the last thesis was published, but the strength of the move merits concern for the mid-term targets and FOMO-style bull run that everyone is hoping for.
Dogecoin price currently trades at $0.0842 as price consolidates near a previous support zone that the bears successfully breached during an early May liquidation. This is the first time DOGE price will be reacquainted with the breached barrier since the plummet. Classical price action techniques suggest that the mid-$0.08 barrier will likely act as resistance and reject uptrend momentum. The volume profile indicator supports this idea as the bulls have not yet displayed an increase in transactions relative to previous bull runs.
DOGE/USDT 1-Day Chart
When combined, it appears that the Dogecoin price could be articulating a sucker's rally-style retracement before the next sell-off occurs. Investors should be aware that the notorious dog coin has strong confluences pointing to a $0.020 price zone (mentioned in previous outlooks). Subsequently, the DOGE price could fall as low as $0.010 without invalidating the bullish macro count.
Still, an invalidation point of the downtrend scenario is necessary to define the correct trend. The bearish thesis will be void if the bulls can break through $0.112. In so doing, the DOGE coin price will be able to rally towards a conservative $0.250 target resulting in a 150% increase from today's market value.
In the following video, our analysts deep dive into the price action of Dogecoin, analyzing key levels of interest in the market. -FXStreet Team
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
