Crypto News- In the midst of the cryptocurrency market’s resurgence in 2023, meme coins have notably underperformed. One meme coin that has attracted considerable attention is Dogecoin (DOGE). It had experienced a recent dip in its ranking, but now it seems to be on the cusp of a multi-year breakthrough.
DOGE Preparing for a Multi-Year Breakout – Seize the Opportunity to Buy Now
A prominent figure in the crypto analysis sphere Ali Martinez, has observed a pivotal development in the multi-year chart of Dogecoin.
If the weekly candlestick can close above the $0.0835 mark, this might signify the initiation of a new bullish trend for DOGE, potentially setting its sights on the $1 milestone. However, investors should proceed with caution, particularly when it comes to the $0.0482 support level. Any indications of vulnerability around this level could lead to a new yearly low. As of the latest available data, Dogecoin is trading at $0.058, reflecting a 1.18% increase, with a market capitalization of $8.28 billion. The recent overselling that Dogecoin has experienced over the past few months could set the stage for a strong comeback, making it a potentially strong performer by year-end.
Taking into account purely technical indicators, a multitude of analysts anticipate an impending recovery for DOGE.
The relative strength index (RSI) is once again nearing the 30 mark, after spending nearly two months consistently below 50, often dipping below 40. Additionally, DOGE’s 30-day exponential moving average (EMA) has consistently remained below its 200-day average for several months, indicating that the coin is undervalued and possibly poised for an upward trajectory.
However, investors are advised to exercise caution, as Dogecoin has been steadily losing support, and it recently dipped below the critical $0.60 support level.
Furthermore, the prevailing sentiment suggests that major holders of Dogecoin are more inclined to sell the token than accumulate it, which is evident from significant recent transfers.
Another concerning sign is the dwindling 24-hour trading volume of DOGE, which has plummeted from its peak of $9 billion in November of the previous year to approximately $175 million today. This decline serves as another testament to the diminishing market interest in the coin.
Leave a comment