- Dogecoin price is grappling with the TD Sequential indicator’s State Trend Resistance at $0.332.
- A rejection at this level might see DOGE retrace 10% before taking another jab at the upswing.
- If the bullish scenario persists, the local top at $0.414 seems to be an area of interest for the bulls.
Dogecoin price shows hindrance as it tries to overcome a resistance barrier. A minor pullback after rejection seems likely before the bulls kick-start an upswing.
Dogecoin price faces blockade
Dogecoin price is currently faced with the Tom DeMark (TD) Sequential indicator’s State Trend Resistance level at $0.332, preventing it from surging higher.
A decisive close above this level might invoke a potential sell signal from the TD Sequential indicator in the form of a green nine candlestick, which forecasts a one-to-four candlestick correction.
If this scenario comes to pass, investors can expect the Dogecoin price to find support on the demand zone extending from $0.262 to $0.302. Here, the buyers could give the 25% upswing to $0.414 another try.
On the other hand, if the buying pressure continues to pour in, then DOGE might ignore the threat of reversal and proceed higher to hit its intended target at $0.414.
DOGE/USDT 4-hour chart
Adding a tailwind to the bullish narrative is IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model, which shows a lack of resistance barriers.
Roughly 38,700 addresses that purchased 735 million DOGE are “Out of the Money.” Hence, clearing this level will put Dogecoin price on a path of least resistance to retest its recent swing high at $0.414.
DOGE IOMAP Chart
Regardless of the technicals, a potential spike in selling pressure that pushes Dogecoin price below $0.285 would question the bullish momentum. However, a decisive 4-hour candlestick close below $0.262 would invalidate the bullish thesis and trigger a 13% downswing to $0.226.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ripple's XRP breaks out of downtrend as RLUSD receives greenlight from New York regulators
Ripple's CEO Brad Garlinghouse announced on Tuesday that the company received a green light from the New York Department of Financial Services on the launch of its stablecoin RLUSD.
Could Google's supercomputer crack Bitcoin? Crypto community maintains positive outlook
Bitcoin faced mixed sentiments on Tuesday after crypto community members spoke on the potential of Google's new quantum chip Willow's ability to crack blockchain networks and render the security of public key cryptography useless.
Crypto Today: Microsoft Rejects Bitcoin Reserve Plan, as Cardano, XRP Lead Market Rebound
Amid an escalating geopolitical crisis, the global crypto market crash on Monday saw over $1.5 billion worth of liquidations, triggering double-digit losses across top-ranked digital assets.
Litecoin Price Prediction: LTC to hold $100 support as traders deploy $10M of leverage
Litecoin price broke below the $110 level on Tuesday, down 20% in a frenetic 24 hours as rising geopolitical risks triggered volatility across global crypto markets.
Bitcoin: Long-awaited $100K milestone meets profit taking
Bitcoin ends the working week hovering around $98,000 after a very volatile Thursday when it surpassed the $100K milestone and underwent a sharp correction. Strong institutional demand, whale accumulation, and the choice of a pro-crypto figure to lead the US SEC fueled the rally this week.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.