TL;DR Breakdown
- Dogecoin price analysis highlights DOGE’s preparation for a 30 percent surge.
- At present, Dogecoin is consolidating around $0.3605.
- A decisive close above $0.4 will trigger a bull run.
- Dogecoin will turn bearish if it forms a new swing low below $0.32
The dog-themed Dogecoin crypto-asset remains the talk of the town, having plummeted to $0.22 on May 19. The price dip came at a time when Dogecoin had soared by more than 15,000 percent from January 2021 to an all-time milestone of $0.74 on May 8. By June 2, Dogecoin had regained some of its lost ground to exchange at around $0.4. From the look of things, Dogecoin’s volatility tends to be driven by Twitter, especially tweets by Elon Musk, Founder and CEO of Tesla.
Dogecoin Price Analysis: General price overview
At the time of writing, the Dogecoin price action shows signs of ending its price consolidation as it continues to register upward price movements. Earlier this month, the crypto coin recorded a swing high to give a substantial sign that DOGE resumes its bullish trend. At present, the crypto coin needs to move past a critical resistance line to signal the commencement of an impulsive upward trend.
On May 18, Dogecoin experienced a 60 percent price correction that saw the crypto coin depreciate from $0.52 to around $0.22. After this repulsive fall, Dogecoin registered its first swing high on May 20, where it settled at $0.44. The second swing high was recorded on June 2, where DOGE settled at $0.448., signaling the start of a new bull run.
Dogecoin price movement in the past 24 hours
According to Dogecoin’s 24-hour price chart, Dogecoin price action has been registering swing lows as the crypto asset continues to consolidate in a small range. This is an indication the crypto asset is close to reporting an upward price surge. In the event, Dogecoin closes the day above the $0.4 price range, the crypto coin will trigger a rally.
A decisive close above the $0.4 range is likely to kickstart an impressive 12 percent upsurge to push the coin past its immediate resistance level at $0.45. If Dogecoin bulls go past this level, the price of DOGE will test the lower boundary of the supply region ranging from $0.48 to around $0.52. All in all, a move towards the lower boundary would mark a 30 percent upsurge.
Dogecoin 4-hour chart
On looking at Dogecoin’s 4-hour chart, it is evident the crypto coin is still bearish as critical technical indicators paint a red picture. For instance, the MACD technical indicator shows DOGE is bearish as it hovers under the signal line. The RSI also gives a bearish indication as the coin appears to be moving towards the oversold region.
If Dogecoin fails to close the day above the $0.4 price region, it will indicate weak bulls. Such a move will automatically invalidate the bullish narrative, leading to new swing lows being recorded. This might push Dogecoin’s price towards the $0.34 price region, which was registered on June 1. Dogecoin might encounter further price declines in such a case that might see the crypto asset seek support around its immediate support level at around $0.294.
Conclusion
Since the beginning of the year, Dogecoin has witnessed an increase in companies accepting the crypto coin as a valid mode of payment. The Dallas Maverick, Post Oak Motor Cars, airBatic are but a few of the companies that accept Dogecoin. Although Dogecoin’s price might not be performing as expected, the crypto might start showing positive price movements due to these partnerships.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
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Source: https://www.cryptopolitan.com/dogecoin-price-analysis-2021-06-07/
