- Dogecoin price spiked below an important support area of 28.0 Satoshis, but later managed to move back higher.
- The price is caught in a range of 28.0-33.0 Satoshis, and waiting for a catalyst for the next move.
- As pointed out in yesterday’s post, there is a possibility of a triple bottom pattern looking at the price feed from IO.
Dogecoin price is stuck in a range, and that’s why conservative traders can wait for a break, either upwards or downwards, before placing an order.
32.0-33.0 as Resistance area
Dogecoin price fell below a major support area of 28.0 Satoshis Intraday, but somehow buyers managed to protect the downside and pushed the price higher. We can consider the recent slide as a false spike, which means our idea of triple bottom pattern is still in play. As long as there is no daily close below 28.0 Satoshis, there is a chance that the price may move higher and overcome selling pressure.
If you are looking to trade, then aggressive traders can place buy orders near the 29.0 Satoshis support area once the price bounces off 28.0 Satoshis. There is a major hurdle forming around the 100 simple moving average (data feed from CEX.IO) on the 3-hours chart, which is acting as a barrier for an upside move. If you are a conservative trader, then you can wait for a break above 100 MA before placing an order.
Looking at the price feed via the data feed from HitBTC, there is a trend line resistance area building near 32.0 Satoshis. A break above it could ignite a rally, taking the price towards 36.0 Satoshis.
Looking at the indicators:
Hourly MACD – The hourly MACD is in the bullish zone, pointing more gains in the near term.
Hourly RSI – The RSI is above the 50 level, suggesting that there may be a break higher.
Intraday Support Level – 28.0 Satoshis
Intraday Resistance Level – 32.0 Satoshis
Charts from HitBTC and CEX.IO; hosted by Trading View