The trailblazing meme currency, Dogecoin (DOGE), has been experiencing a downturn over the preceding 30 days, reflecting a 17.13% drop to a DOGE value today of $0.097.
However, there may be forthcoming developments for this popular cryptocurrency as technical analysis (TA) conducted by esteemed digital asset expert, Ali Martinez, indicates that Dogecoin is ready for a positive shift.
Indeed, Martinez detailed in a post on X from September 2, suggesting that DOGE is demonstrating a bullish divergence concerning the relative strength index (RSI) – a momentum indicator that assesses the intensity of recent price movements – while the TD Sequential is suggesting a buying opportunity.
TD Sequential functions as another analytical instrument that employs historical price patterns to signal whether a trend reversal is likely and, in this case, to evaluate if DOGE’s recent hurdles will persist.
How much might Dogecoin increase?
While I cannot determine with absolute certainty how high the surge could elevate Dogecoin’s price, I believe that a breakout above the initial resistance level at $0.099896 would strongly indicate a continuation of the bullish trend.
Moreover, exceeding the third resistance threshold at $0.1066 would suggest a pronounced upward trajectory that could possibly drive the meme currency toward its prior yearly highs surpassing $0.2.
On the other hand, should DOGE decline further beneath its support at $0.093, I would consider the immediate buy signal to be null and void.
Other analytical methods, however, do not offer any basis for encouragement. Dogecoin’s overall TA rating on the trading and digital asset evaluation platform TradingView is classified as ‘sell,’ regardless of whether it’s derived from the last 24 hours, a week, or a month of trading.
Likewise, while oscillators maintain a ‘neutral’ position across all three time periods, moving averages (MA) consistently advise selling DOGE.
Dogecoin price graph
Regardless of what the future holds for Dogecoin, the fact remains that its recent performance has been lackluster. For example, over the last 30 trading days, the meme currency was in the positive territory on merely 12 occasions, reflecting a predominantly bearish sentiment in the cryptocurrency market, which is hardly surprising.
Nevertheless, even though DOGE has declined over 15% in the last month, it has succeeded in staying positive on the year-to-date chart, albeit just by 5.85%.
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