Dogecoin price wipes liquidity as market makers aim for $0.19
- Dogecoin price rests within a parallel channel.
- Dogecoin price sell-off is accompanied by relatively low volume
- Invalidation of the uptrend scenario is a breach at $0.1224
Dogecoin price could be putting on the final low before a shocking countertrend rally.
Dogecoin price is worth the risk
Dogecoin price is failing to breach the $0.12224 level but wiping out all trading liquidity within reach of the level. Market makers could be hinting at a price spike underway as the sell-offs are ritually happening under low volume. The macro Dogecoin thesis has maintained that the popular meme coin is coiling into a triangle formation. The prospective DOGE Triangle may need one more high to finish a complex C wave.
Dogecoin price also finds support at an ideal level on the relative strength index. The bears are repetitively forcing the price down, but the overall structure of the decline resides within the slanted parallel channel. If the technicals are correct, a breach above $0.13 could send the Dogecoin price flying.
DOGE/USDT 4-Hour Chart
Invalidation of the bullish thesis is a break below $0.1224. A $0.11 Dogecoin price will be back on the table if this breach occurs, resulting in a 10% decrease from the current DOGE price.
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.
