The Dogecoin price has recently been experiencing a bear cycle within the daily time frame chart’s channel pattern. From its peak at $0.105, the coin’s price has tumbled by almost 31.2% in just two days, now hovering around $0.072. In response to the current market volatility, the Dogecoin price has been moving sideways between $0.075 and $0.0692. A decisive breakout from this range could significantly influence the future direction of this memecoin.
The outcome of this range barrier will depict the potential trend for the near future. If the price dips below $0.0692, the bear cycle might continue due to growing pressure from sellers. However, if the price surges above the range resistance at $0.075, Dogecoin could experience a sharp jump to $0.082.
The 24-hour Dogecoin trading volume currently stands at $156.5 million, marking a 1.5% increase. It’s worth noting that the multiple short-body candles within the specified price range indicate a lack of significant movement between buyers and sellers.
Considering the downtrend within the range, the Dogecoin price might break the range support of $0.062. If this occurs, sellers could receive additional resistance, pressurizing prices towards lower levels.
A potential downward shift could lead to prices plummeting by around 18% to reach the combined support of $0.057 and the lower support trendline of the channel. However, if the price breaks above the range resistance of $0.075, Dogecoin may witness a significant increase to compete with the lower trendline channel pattern.
Despite the current consolidation, it is more likely to end in the sellers’ favor with a $0.062 breakdown. Losing the existing support could accelerate selling pressure, driving the price down to $0.0628 and then to $0.057.
In terms of indicators, the Relative Strength Index (RSI) has shown notable growth even with sideways price action, suggesting an increase in buying pressure amidst the consolidation. In contrast, the Supertrend’s red film highlights that the current trend in the Dogecoin price remains bearish.
It is important to remember that market conditions can change suddenly, and the presented content may include the author’s personal opinion. Consequently, readers should do their market research before investing in cryptocurrencies, as neither the author nor the publication will be held responsible for any personal financial loss.
Source: Coingape
