Opportunity for Bulls as DOGE Hits $0.07000 and Stalls
The article discusses the current situation of Dogecoin (DOGE) and its struggle to surpass the $0.07000 mark. There is a bearish order block (OB) at $0.06729 – $0.07120 that has been preventing DOGE from moving higher.
Bitcoin (BTC) has maintained a hold of $30k, which has reinforced bullish sentiment in the market. However, DOGE’s H4 structure is still bearish unless it can break through the bearish OB.
Technical indicators such as the Relative Strength Index (RSI) and Money Flow Index (MFI) have hit overbought zones, indicating increased buying pressure. But they have recently shown downticks, suggesting a potential pivot.
The Chaikin Money Flow (CMF) has remained positive but has eased southwards, indicating that capital inflows have slowed down.
If the roadblock at $0.07000 persists, DOGE may retrace to lower levels such as $0.06324 or $0.05983. Bulls can wait for a pullback retest at these levels for buying opportunities. However, a drop below $0.05983 could invalidate the bullish thesis and lead to aggressive selling.
The funding rates for DOGE have been relatively positive, offering bulls an edge in the market. Short positions worth $1.4 million have been liquidated in the past 24 hours, while long positions suffered a $1.1 million loss, indicating a bullish bias on the higher timeframe. However, bulls will only gain an edge if they can invalidate the bearish OB.
Overall, DOGE is facing resistance at the $0.07000 mark and may retrace to lower levels if it cannot break through. The funding rates and liquidation data suggest a bullish bias, but this will only be confirmed if the bearish OB is invalidated.
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