Maintaining an overall bullish uptrend, will this pullback lead to a higher high for Dogecoin as price action hints at $0.17?
Despite the crypto market’s setback this week, the bullish influence over the past few weeks has set the meme coin and altcoins on a bullish stand. The biggest meme coin in the crypto segment, Dogecoin, has a market cap of $17.30 billion and is currently trading at $0.1184.
Over the past seven days, the meme coin has increased by 9.01%. By Sunday, the weekly gain stood at 16.95%. With a surge in volatility over the past few days, the meme coin is now trading at $0.11836. Will this volatility lead to an uptrend continuation to $0.17?
Dogecoin Faals Under 200-day EMA
On the daily chart, Dogecoin exhibits a falling wedge breakout rally, gaining momentum and reclaiming the critical $0.10 psychological mark. The bullish trend peaked at $0.13 before retracing to retest the 100-day EMA.
Currently, the meme coin is trading between the 100-day and 200-day EMAs, with bullish momentum indicated by the 50-day EMA. Following an intraday gain of 3.62% after an 8.14% drop on Monday, Dogecoin shows signs of a post-retest reversal from the $0.11786 horizontal level.
Additionally, with a piercing candle formation, Dogecoin is gradually building bullish momentum and continuing its higher-low trend formation. Based on the price action analysis in the daily chart, upcoming resistance levels are projected at $0.14026, $0.17394, and $0.22008.
Due to increased supply on Monday, the MACD and signal lines are nearing a bearish crossover. However, the intraday recovery suggests that a continuation of the anticipated bullish trend may prolong the positive trend in the MACD and signal lines.
Short-term Bullishness For Long-term Gains?
In the 4-hour chart, the pullback on Monday breaks below the 61.80% Fibonacci level at $0.11807. Furthermore, it breached the 50-day EMA while taking support from the 100-day EMA.
The dynamic moving averages on the 4-hour chart are maintaining a positive trend, indicating short-term bullishness. Additionally, a rounding-bottom reversal could be in play with a decline to $0.1387 or the 100% Fibonacci level.
The bullish trend struggled to sustain itself above the 78.60% Fibonacci level at $0.12717, resulting in a drop near the 50% EMA at $0.1168. Based on the Fibonacci retracement levels on the 4-hour chart, a continuation of the uptrend with a rounding-bottom breakout rally will likely target the $0.17226 level or the 1.618% Fibonacci extension.
Conversely, critical support levels stand at 50% and 38.20%, respectively, and Fibonacci levels at $0.1168 and $0.10528.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
