Cryptocurrencies

Analysis: Can DOGE Rise 40% From Here?


Dogecoin is now back at a price level where it has already found support several times. The previous times DOGE ended up here, it rose more than 40% in value. Is this another realistic scenario, or has the coin had its day? Let’s look at the graphs.

Banner Dogecoin 1

The most important price level

To analyze this price level, it is best to look at the daily chart of DOGE. Here each candle represents 24 hours, allowing us to look back into the price history (to analyze the red zone), while still getting a good idea of ​​the movements of the past few days.

The red zone is a place that has caused course changes before. DOGE ended up here after making a mega rise in February. Since then, this level has kept the coin from falling further each time. It is therefore likely that the price will not simply drop below this.

The price of DOGE is currently in the middle, and as you can see from the last green candle, the coin has given an excellent reaction at the bottom of the zone. As a result, the positive scenario – that the currency can recover from here – is increasing.

The last times DOGE arrived at this zone, the price rose by as much as 40% (or more). As you can see, this has happened four times so far (if you count the two quick drops after the increase in February). It is therefore not surprising if the memecoin pulls this trick again, especially because the coin now remains reasonably strong around this price.

Price not yet over $0.128

To analyze this better, let’s also take a look at the 4-hour chart of Dogecoin. Here we see the same red zone, only in more detail. This way we can also see the recent price action a little better. Because despite DOGE giving a good reaction on the daily chart, we can see on the chart below that the coin has already been rejected twice at the top of the red zone.

As indicated by the orange circles, the price so far starts to drop when it gets to the price of $0.128. This is of course not a good sign, but the fact remains that the price looks good as long as the currency does not fall below the red zone. To ensure a more positive price trend, I would first wait until the currency rises above this price level again.

From there, the coin could gain 40% in value. As I already mentioned, the currency should not move below the red zone, but as long as that does not happen, the future does not look bad. Therefore, keep a close eye on this price level.

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