The broader cryptocurrency market has endured important corrections over the previous six months, primarily pushed by the 2 largest digital currencies: Bitcoin (BTC) and Ethereum (ETH). Dogecoin (DOGE), the main meme coin, has not escaped this development, experiencing a marked decline in worth.
Dogecoin Value Faces 55% Decline Since March Excessive
Since reaching a yearly excessive of $0.22 in March, DOGE has suffered a considerable drop of 55.9%, at the moment buying and selling at roughly $0.0976. This decline is much more pronounced over longer time frames; in line with CoinGecko knowledge, Dogecoin is now 86% decrease than its all-time excessive of $0.73 recorded in Might 2021.
Within the brief time period, Dogecoin has been underperforming in comparison with the general crypto market, which has seen a 6.90% drop over the previous week. Throughout the identical interval, DOGE’s worth fell by 8.8%, additional illustrating its struggles.
Nevertheless, there are rising bullish indicators that might pave the best way for a restoration. Crypto analyst Ali Martinez not too long ago identified a bullish divergence forming on Dogecoin’s 4-hour Relative Energy Index (RSI).
As well as, the analyst famous that the Tom Demark Sequential 9 (TD) indicator is flashing a purchase sign, suggesting {that a} worth rebound could also be on the horizon.
Can DOGE Break Via $0.10?
As outlined by the analyst, these indicators counsel that the Dogecoin worth may probably surge above its present buying and selling ranges, with the $0.10 mark being a important milestone not seen since August 24.
Attaining this stage would signify a profitable restoration of the token’s 50-day exponential transferring common (EMA), which coincides with the $0.10 worth level. Nevertheless, if bullish momentum fails to materialize, there’s a danger of a failed try to reclaim this key resistance.
Ought to DOGE efficiently surpass the $0.10 threshold, bulls will then have to deal with the following important hurdle at $0.107. This stage is essential for any additional makes an attempt to climb greater and deal with the following EMA.
If Dogecoin can navigate this resistance, it could be poised to retest the 200-day transferring common at $0.11. A profitable breakthrough at this stage may sign a continuation of the restoration, probably pushing DOGE towards the following resistance stage of $0.13 on its DOGE/USDT day by day chart.
Conversely, for the previous virtually 4 weeks, the Dogecoin worth has discovered a big assist ground at $0.094, which prevented the token from crashing in direction of $0.080 once more final week, because it did throughout the broader market crash on August 5.
What is definite is that regardless of these indicators, bullish momentum is far wanted for the coin to push greater resistance and consolidate above its earlier assist ranges to proceed on its path to retest the yearly highs.
Featured picture from DALL-E, chart from TradingView.com