Rally Creeps Sideways, Buyers on Track

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 after 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.

Advertisement header-banner-ad

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/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 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

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

Read Full Article


Latest articles

Related articles

Leave a reply

Please enter your comment!
Please enter your name here