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- Should bulls continue to grow stronger, DOGE’s price may attempt to establish a foundation above $0.07755.
- After its price dipped slightly over the past day, bulls are stepping in to push DOGE’s price back up again.
- DOGE was able to break above the $0.07755 resistance level over the past 5 days and reached a high of $0.08189.
The price of Dogecoin (DOGE) dropped slightly over the last 24 hours, according to CoinMarketCap. This correction does not tell the full story, however, as the meme coin was able to surpass major resistance levels throughout the past week. Following the latest 24-hour loss, bulls seemed to have stepped back in to resurrect the meme coin’s price.
Daily chart for DOGE/USDT (Source: TradingView)
DOGE was able to break above the $0.07755 resistance level over the past 5 days and reached a high of $0.08189. Bears, however, were quick to force the meme coin’s price to back below this point in the 48 hours that followed and closed Monday’s trading session below this barrier.
Sellers then attempted to force DOGE’s price below the next key support level at $0.07195. They were able to temporarily drag the cryptocurrency to a low of $0.06880 yesterday before bulls fended off the attack from bears, resulting in the altcoin closing yesterday’s daily candle at $0.07244.
Over the past 24 hours, it seems bulls have joined DOGE’s charts again given the current green daily candle. Furthermore, technical indicators suggested that bulls were starting to chip away at the slight advantage currently held by bears.
Firstly, the daily Relative Strength Index (RSI) line was closing in on the RSI Simple Moving Average (SMA) line. This was after the two lines crossed bearishly throughout the previous 48 hours. Should the RSI line manage to break above the RSI SMA line in the next 24-48 hours, bulls may rejoice at the noteworthy bullish technical flag.
This may motivate buyers to drive the meme coin’s price in the following few days. Traders and investors may want to keep an eye on the Moving Average Convergence (MACD) indicator, however, as it indicates a potential continuation of DOGE’s negative trend. This bearishness will be erased if the MACD line crosses back above the MACD Signal line.
Should bulls continue to grow stronger against sellers, DOGE’s price may attempt to establish a foundation above $0.07755 in the next couple of days. This bullish thesis could be invalidated if DOGE closes a daily candle below $0.07195. In this more bearish scenario, DOGE may tumble to the next key level at $0.06775.
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