DOGE Market in the Paws of the Bears: Is it Time to Buy or Bye?

DOGE Market Dominated by Positive Mood Early in the Day, But Bears Regain Control

The Dogecoin (DOGE) market experienced a positive mood early in the day, allowing the price to surge to a high of $0.08571. However, resistance at the day’s high caused the price to retrace to $0.08132, where support was established. Unfortunately, bears regained control of the DOGE market and were still in charge as of press time, triggering a 3.33% drop from the day’s high to $0.08176.

During the downturn, market capitalization fell by 3.30% to $11,355,178,152, while 24-hour trading volume increased by 11.96% to $548,639,708. This increase in trading activity shows that investors are actively buying and selling, perhaps taking advantage of cheaper prices during the correction to join or exit holdings.

If the bearish trend continues, the next support levels to monitor if the 0.08132 support level is surpassed may be at 0.07798 and 0.07462. However, if the market attitude turns and buyers recover control, the resistance levels to watch may be at 0.08654 and 0.09021.

The DOGE price chart’s Average Directional Index value of 20.98 indicates that negative momentum is weak, and the trend may stabilise. This ADX level gives traders wanting to start long positions on DOGE more confidence since it suggests that the market is not substantially moving in either direction and may provide profit possibilities.

The Balance of Power (BOP) rating of 0.29 and the upward movement indicate that bearish pressure is easing, and the bulls may soon regain control of the market, making it a potentially favourable moment to purchase DOGE. Rising trade volume and favourable sentiment around DOGE further bolster this BOP trend, suggesting a potential change in market sentiment toward a more optimistic perspective.

On the other hand, the Rate of Change (ROC) on the 3-hour price chart has slipped below the “0” line into negative territory, with a value of -3.20. This movement indicates that DOGE’s bearishness is growing as the price decrease increases, and traders may look for possible short-selling opportunities. With a value of 36.63, the Relative Strength Index is sliding below its signal line, adding to the negative picture. This RSI level indicates that DOGE has been oversold and may have a short-term rally, but the general trend remains negative until the RSI returns to above its signal line. If the RSI does not recover and instead continues to fall, it may imply that DOGE has further negative potential in the near term.

DOGE shows resilience as it recovers from lows and gains investor interest, but caution is advised as it consolidates in a weak trend. As always, readers must do their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be liable for direct or indirect damage or loss.

Martin Reid

Martin Reid

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