• Dogecoin price prints two bearish candles on Saturday after climbing to $0.0684.
  • The buildup of overhead pressure at $0.0688 paints a grim picture for DOGE ahead of the new week.
  • Traders should consider new entries at the 200-day SMA on the four-hour chart to long Dogecoin price.

Dogecoin price is at a critical juncture in the wake of a 22% jump in value this week. Initially, the move from support at $0.0560 saw Doge price respect a descending channel’s lower boundary.

A break above the channel defied negative economic news from the United States and the United Kingdom to close the gap to $0.0684. The largest meme token must consolidate gains at a higher level to secure a continued rally to $0.1000.

Has Dogecoin price exhausted its upside momentum?

Dogecoin price is exchanging hands at $0.0654 while bulls double down on their efforts to prevent erasing the progress made over the last few days. The Moving Average Convergence Divergence (MACD) affirms that buyers currently have the upper hand. However, further movement north would be restricted due to the decreasing trading volume.

DOGEUSD price

DOGE/USD four-hour chart

Dogecoin price needs to make a four-hour to a daily close above the seller congestion at $0.0600. Otherwise, investors should start to acclimatize to an imminent pullback. The 200-day (purple) Simple Moving Average (SMA) is one of the key targets on the downside – the second being the 50-day SMA (red) at $0.0600.

It is preferable for Dogecoin price to first gather more liquidity before entering the second phase of its quest to reclaim the $0.1000 level. The IOMAP model reveals the presence of voluminous selling pressure between $0.0678 and $0.0698. Approximately 86,000 addresses previously bought 42.54 billion tokens in the range. It will be challenging for Dogecoin price to navigate through this hostile area because investors might consider offloading their bags at their respective breakeven points.

Dogecoin IOMAP model

Dogecoin IOMAP model

On the other hand, the on-chain reveals the lack of vital support areas, which means the gains accrued this week are in danger of being wiped out. This sentiment also calls for caution from traders – consider locking in profits when you can, remembering the bear market is not over yet.


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.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Ethereum continues hinting at rally following reduced long liquidations

Ethereum continues hinting at rally following reduced long liquidations

Ethereum has continued showing signs of a potential rally on Tuesday as most coins in the crypto market are also posting gains. This comes amid speculation of a potential decline following FTX ETH sales and normalizing ETH risk reversals.

More Ethereum News

HBAR price jumps 75% as BlackRock tokenizes Money Market Fund on Hedera

HBAR price jumps 75% as BlackRock tokenizes Money Market Fund on Hedera

Archax, Ownera and The HBAR Foundation have enabled the first tokenization of BlackRock’s money market fund (MMF) on Hedera. Last year Hedera Council member abrdn’s successfully tokenized its MMFs on Hedera. 

More Hedera News

Bitcoin price holds above $66K as Morgan Stanley files prospectus to add BTC ETF exposure in two of its funds

Bitcoin price holds above $66K as Morgan Stanley files prospectus to add BTC ETF exposure in two of its funds

Bitcoin (BTC) price remains range-bound, holding above the $63,000 level, while its upside is capped below $68,000, going against or delaying the assumption that the fourth halving would be a 'sell-the-news' outcome. 

More Bitcoin News

Crypto community reacts as BRICS considers launching stablecoin for international trade settlement

Crypto community reacts as BRICS considers launching stablecoin for international trade settlement

BRICS is intensifying efforts to reduce reliance on the US dollar after plans for a stablecoin effort surfaced online on Tuesday. Most people expect the stablecoin to be backed by gold, considering BRICS nations have been accumulating large holdings of the commodity.

More Cryptocurrencies News

Bitcoin: BTC post-halving rally could be partially priced in Premium

Bitcoin: BTC post-halving rally could be partially priced in

Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days? 

Read full analysis

BTC

ETH

XRP