Bulls Pressure Psychological Barrier at $0.055

DOGE continues to move sideways after a mild bounce from lows of $0.048 level on Friday. Dogecoin continues to trade with modest losses of about 1% on the session while price action remains capped beneath daily MA 50.

*Dogecoin succumbed to bearish pressure in the prior week
*Bulls continue to pressure the psychological barrier at $0.055
*Dogecoin is shaking off the perception of being a meme-coin

DOGE succumbed to bearish pressure in the prior week, closing in the negative territory for 5 straight days before staging a rebound on Friday. Dogecoin subsequently touched a two-week low at $0.048 in the process. Dogecoin has been stuck within a roughly $0.050-$0.057 range over the past three days, thus confirming the significance of the MA 50 barrier. Bulls continue to pressure the psychological barrier at $0.055 and there is a growing sense that, at some point, something has to give. If Dogecoin manages to make a daily close above the MA 50 Barrier, the door opens for additional gains toward $0.065.

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Dogecoin Shakes Off Perception of Being a Meme-Coin

Dogecoin (DOGE), a cryptocurrency borne out of a joke is potentially shaking off the perception of being a meme-coin, as it has gained huge momentum since Elon Musk and Mark Cuban gave their public endorsement. In early March, the National Basketball Association franchise disclosed it is the first major business to accept DOGE, allowing users to convert the digital currency to fiat using BitPay. Cuban’s Dallas Mavericks announced that Dogecoin can now be used as payment for tickets and merchandise for the basketball team. Ranking 19th largest with a market cap of $6.9 billion, Dogecoin has gained 62978.69% from its May 2015 all-time lows of $0.00008547.

DOGE Daily Chart: Ranging

DOGE/USD Daily Chart

Dogecoin is presently consolidating at the lower bounds of its recent range. The RSI just at the midpoint suggests possible consolidation. If the resolve breaks to the downside, support awaits at the ascending trendline at around $0.049. Doge staged a mild rebound on Mar. 26 after embracing support at this level.

If the support at $0.049 does go, the next notable support zone is around the psychologically important $0.040 level. Then, there would be clear air all the way lower to $0.028. Conversely, if Dogecoin manages to make a daily close above the MA 50, the door opens for additional gains toward $0.066 and then $0.077 in the larger picture.

DOGE 4-Hour Chart: Ranging

DOGE/USD 4-Hour Chart

DOGE price remains stuck in a tight range between the MA 50 resistance cap ($0.054) and support. The MA 200 support is failing to hold which may give way to downside losses to $0.051. Sellers could have a difficult time bringing the price down to the key $0.048 area with several strong support areas forming before it.

Bears have been ceding some ground but the RSI below the mid 50 reading suggests that bears are still in control. Momentum on the 4-hour chart tilts slightly to the downside despite an earlier rebound. In the event of a sustained break past the MA 50 at $0.054, resistance awaits at $0.058, followed by $0.064. Further above, $0.066 and $0.070 are eyed. Dogecoin’s recent price action point to possible additional gains if the coin manages to clear $0.054.

Key Levels
Resistance Levels: $0.073, $0.067, $0.055
Support Levels: $0.047, $0.040, $0.027

Image Credit: Tradingview

Note: coinpedia.org is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event.

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