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Dogecoin Price Prediction: DOGE bulls try to replicate another explosive 25% upswing

  • Dogecoin price is consolidating in a tight range under the $0.273 resistance level.
  • An explosive uptrend is likely to breach the supply zone ranging from $0.280 to $0.312.
  • If the buyers fall short and break down the $0.230 stable demand barrier, it will invalidate the bullish thesis.

Dogecoin price is currently hovering below a suite of resistance levels, preventing it from climbing higher. A swift breach of these barriers is likely considering the consolidation that DOGE is undergoing.

Dogecoin price awaits a breakout

Dogecoin price rallied 42% between August 6 and August 8 in one fell swoop. This explosive run-up came after an extended sideways movement before it. At the time of writing, DOGE is also consolidating under the $0.273 resistance barrier.

While a breakout from this coiling price action could head either way, investors can expect a bullish breakout. This directional bias is due to the overall structure of the big crypto, which is leaning toward the buyers.

Although the upswing is plausible, it is not apparent due to the presence of the supply zone ranging from $0.280 to $0.312. A decisive 12-hour candlestick close above $0.312 will indicate a resurgence of buyers. This move opens up the path to the next ceiling at $0.328.

This leg-up from $0.257 to $0.328 constitutes a 25% advance for Dogecoin price.

DOGE/USDT 12-hour chart

DOGE/USDT 12-hour chart

While the upswing narrative might seem a bit forced, DOGE might fail to slice through the supply zone, stretching from $0.280 to $0.312. A failure will indicate weak buying pressure and allow the bears to run rampant.

In such a case, investors can expect a retracement to the $0.230 support level. While this downswing does not hurt the optimistic narrative, it might delay the ascent.

However, if the bears shatter $0.230, it will invalidate the bullish thesis and potentially trigger a crash to $0.213.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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