Dogecoin Price Technical Analysis for 01/12/2015 – Sell Target Achieved

Key Highlights

  • Dogecoin price fell and tested our sell target of 30.0 Satoshis where buyers may appear.
  • There is a chance of a bounce from the stated level, as it represents a major support as highlighted in the 2-hours chart (price feed from CEX.IO).
  • On the upside, the hourly simple moving average could continue to stall gains and prevent the upside move.

Dogecoin price reached 30.0 Satoshis as forecasted, and now it’s time for sellers to consolidate and wait for a short-term correction.

Recovery Possible?

Dogecoin price continued to move down Intraday, and cleared yesterday’s low to trade near 30.0 Satoshis. The stated level holds a lot of importance for both buyers and sellers, so there is a chance of an increase in volumes moving ahead. Buyers may step in and prevent any additional weakness, but we cannot discard the fact that there can be more losses in the near term.

Dogecoin Price Technical Analysis Dogecoin Price Technical Analysis

The price fell sharply Intraday to trade as low as 29.9 Satoshis where it found support. The stated level is also the last swing low for Dogecoin price, which adds to the view that the price may find bids moving ahead. However, it won’t be easy for buyers to take the price higher as the 100 simple moving average on the 2-hours chart is positioned on the upside to act as a hurdle (price feed from CEX.IO). The MACD Histogram on the 2-hours chat is about to move towards the bullish slope, which may encourage buyers to take the price higher.

If the price corrects higher from the current levels, then an initial hurdle can be around a bearish trend line formed on the hourly chart (price feed from HitBTC). The highlighted trend line and resistance area acted as a barrier for buyers on a number of occasions, and it may continue to stall gains. The 38.2% Fib retracement level of the last drop from the 40.8 Satoshis (high) to 32.2 Satoshis (low) is also aligned with the trend line.

Dogecoin Price Technical Analysis Dogecoin Price Technical Analysis

Moreover, the 100 hourly simple moving average is placed with the highlighted bearish trend line to increase the importance of the resistance area at 35.0 Satoshis.

Looking at the indicators:

Hourly MACD – The hourly MACD is in the bullish slope, suggesting a short-term recovery.

Hourly RSI – The RSI is above the 50 level, which is a positive sign for bulls looking for a recovery.

Intraday Support Level – 30.0 Satoshis

Intraday Resistance Level – 35.0 Satoshis

 

Charts from HitBTC and CEX.IO; hosted by Trading View

mm

TheBitcoinNews.com – leading Bitcoin News source since 2012

Virtual currency is not legal tender, is not backed by the government, and accounts and value balances are not subject to consumer protections. The information does not constitute investment advice or an offer to invest.