- Dogecoin rocketed higher, and our buying dips idea worked as highlighted in yesterday’s analysis.
- The price surged higher and traded close to 90.0 Satoshis where sellers appeared.
- 100 MA continued to act as a pivot area for buyers and might help them to gain traction moving ahead.
We forecasted yesterday that a reaction is likely around the 100 hourly MA, which did happen and took the price higher.
Can Sellers Overcome Pressure?
Yesterday, we highlighted that there is a chance that Dogecoin price might find support around the 100 hourly simple moving average. The price tested the mentioned support area and traded higher. There was a nasty reaction towards the upside, as the price rallied more than 10% to trade near 90.0 Satoshis.
The price is currently correcting lower, and the most interesting point is that the 100 SMA is again playing its part and acting as a support. The Lower Bollinger Band is also around the same support area, which is coinciding with the 76.4% Fib retracement level of the last wave from 70.0 Satoshis to 89.8 Satoshis. In short, 74.0 Satoshis can again be seen as a buying zone in the near term as buyers might appear to protect losses. There is a high probability that the price might trade back higher moving ahead, as the trend is still in favor of buyers.
The 100 MA may perhaps continue to act as a pivot area in the near term, and as long as the price is above the same more gains cannot be denied.
The hourly RSI and MACD are favoring upsides, which is why sellers need to be careful moving ahead.
Intraday Support Level – 70.0 Satoshis
Intraday Resistance Level – 72.0 Satoshis
On the downside, a break below the 100 MA could take the price towards a bullish trend line.
Charts courtesy of Trading View