Price Analysis

DOGE Price Analysis: Rally Creeps Sideways, Buyers on Track

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Dogecoin (DOGE) pulled back from resistance at $0.068 this week and remains in a sideways consolidation.

*DOGE/USD pair remains in a sideways consolidation pattern
*Intraday bias stays neutral for now
*On-chain data reveals firm support at the present price

DOGE Bulls have regained control after shallow pullback during Friday trading. The DOGE/USD pair remains in a sideways consolidation pattern since the prior breakout to highs of $0.094 on Feb. 8. Buyers are on track to retest above the $0.068 barrier after an earlier attempt stalled during the week. Intraday bias stays neutral for now. It seems like the price pattern would be unfolded as a triangle. Dogecoin’s positive momentum has dwindled while promoting a minor directionless price phase. DOGE presently trades at $0.0633.

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On-Chain Data Reveals Firm Support at the Present Price

The IntoTheBlock’s In/Out of the Money Around Price (IOMAP) data indicates that DOGE sits atop robust support with a range between $0.0541 to $0.0637. A larger percentage of investors (88.94%) with in-the-money holdings exist between this range to provide support presently. In contrast, a relatively small percentage of speculators (11.05%) with out-of-the-money holdings exist between $0.0637 to $0.073 offering resistance.

Doge Daily Chart: Ranging

DOGE Price Analysis
DOGE/USD Daily Chart

After a test of the resistance of the $0.072 mark on Apr. 1, the DOGE/USD declined below the support of the MA 50 ($0.055) zone. Afterward, the pair found support in Friday’s low at $0.059. This remains the level to break if that selling pressure surfaces. For now, the price is back above previous support at the MA 50 ($0.055). Further support is found at $0.049(ascending trendline support) followed by $0.041 and $0.021 (February low).

DOGE/USD pair continues to trade sideways, capped by the immediate resistance at $0.068. If buyers propel beyond this curbing barrier, which is serving the latest sideways price action, the price may then target the resistance zone between the $0.072 – $0.094 and the yearly peak of $0.10. The sideways moving RSI at 60 suggests a minor advantage to the bulls.

DOGE/USD 4-Hour Chart: Ranging

DOGE/USD 4-Hour Chart
DOGE/USD 4-Hour Chart

DOGE/USD price action was steadily rising only for the gains to be capped at the $0.066 level once again. This resulted in a slight pullback, while the pair resorted to a sideways trading range between $0.061 and $0.064. Receiving adequate traction from the floor of the range, buyers may overpower the capping $0.066 level before challenging the restrictive roof at $0.068. Any move above this area could target $0.071 and then $0.084. Further resistance comes in at $0.090 and the yearly high at $0.10.

Conversely, if sellers seize control and steer the DOGE price beneath the $0.061 floor, the next hardened support could develop at the MA 50 ($0.060). Should this foundation also fail to dismiss the decline, the MA 200 at $0.057 could then draw traders’ focus. A failure of the moving averages would most likely result in the DOGE/USD pair resorting to trade sideways in the lower range between $0.048 and $0.055. Summarizing, the DOGE/USD pair is adopting a neutral profile following the break below the yearly high of $0.10. Additional gains above $0.068 and a rally above $0.071 could improve sentiment.

Key Levels
Resistance Levels: $0.1004, $0.0943, $0.0818
Support Levels: $0.5550, $0.0470, $0.04080

Image Credit: Tradingview

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Disclaimer : The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of Coinpedia. Every investment and trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Tomiwabold Olajide

Tomiwabold is a currency trader and cryptocurrency analyst. A technical analyst, as well as an experienced fund manager, he has also co-authored several books on Forex trading. Tomiwabold pays great attention to cryptocurrency research, conducting a comprehensive price analysis and exchanging predictions of estimated market trends. He studied at the University of Lagos, Lagos.

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