DOGECOIN PRICE ANALYSIS: DOGE coin price has fallen back to the demand zone, will it bounce back?

  • DOGE coin price is trading at the demand zone after showing a bullish rally in the previous week.
  • As of now, the coin has started consolidating near the demand zone.
  • The air DOGE/BTC is trading at the price level of 0.00000314 with a decrease of -0.31% in the past 24 hours.

DOGE coin price is in a strong downtrend after the price faced rejection at the supply zone. Although the coin has not changed the price structure and is still forming higher high and higher low formations. Therefore the recent fall could just be a retest of the previous breakout zone. DOGE coin price has broken down in an hourly time frame, still it is trading above the demand zone. At present, the coin price is trading at the lower band of the Bollinger band indicator after failing to surpass the upper band of the Bollinger band indicator. Currently, the coin price is trading below the important moving averages. The 50 and 100 Moving Average could act as a strong resistance moving forward. Volumes have decreased causing the trend to continue on the particular side. Investors should wait for a clear trend and then jump into it.

DOGECOIN price is forming a falling wedge pattern on an hourly time frame

Relative Strength Index: RSI curve is trading below the demand zone on an hourly time frame. At present, the coin price is forming a falling wedge pattern on hourly time frames. The RSI curve is yet to cross the halfway mark of 50. The RSI curve tried to pass the 50 mark but failed to do so. The RSI curve has crossed the 20 EMA yellow line. For the coin price to give a breakout of the falling wedge pattern on an hourly time frame, the RSI curve needs to cross the 50 halfway mark.

Average Directional Movement Index: ADX curve is falling continuously following the bearish trend of the DOGE coin price. As a result, the ADX curve slipped below the 25 zones. Although the ADX curve has turned sideways indicating a halt in the price movement. Once the coin gives a breakout of falling wedge patterns the ADX curve can be seen dipping out of the 25 zones supporting the trend. This would change the price structure to higher highs and higher lows. 

Supertrend: DOGEcoin price has been in a downtrend and the super trend indicator is depicting the same. The coin price broke down the super trend buy line which was acting as a strong demand zone, with a big bearish candlestick pattern. As of now the super trend indicator triggered the sell signal. Moving forward the DOGE coin can face rejection of the super trend sell signal.

CONCLUSION: DOGE coin price has been moving in a bearish trajectory, despite the bullish trend in the overall cryptocurrency market. The coin price has formed a bullish reversal pattern and the technical parameter seems to be supporting the trend. It remains to see if the coin price will break the falling wedge pattern or not.

SUPPORT: $0.061 and $0.059

RESISTANCE: $ 0.064 and $0.065

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