Dogecoin Price Analysis: DOGE coils up, eyes 80% advance
- Dogecoin price is consolidating inside a falling wedge pattern suggesting a bullish breakout soon.
- DOGE could firmly establish an uptrend after it flips the resistance level at $0.413 into a support floor.
- A bullish divergence seen between the meme coin’s price and multiple indicators suggests a breakout is likely.
Dogecoin price could appreciate massively as coils inside a bullish pattern. A successful breakout could propel DOGE to pre-crash levels.
Dogecoin price hints at a massive bull rally
Dogecoin price is currently trading inside a falling wedge pattern on a 4-hour chart. This setup has a bullish bias and is formed on a downtrend. It contains multiple lower highs and lower lows that are connected using trend lines.
If Dogecoin price shatters the upper trend line and closes above $0.413 in a convincing fashion, it would signal the start of an uptrend.
Supporting this bull rally is the bullish divergence formed between the price and On Balance Volume (OBV) and Moving Average Convergence Divergence (MACD) indicator.
The bullish divergence is obtained when the price forms a lower low but the indicators set up higher lows.
Therefore, DOGE could rise 26% from $0.413 to the resistance level at $0.520. Surpassing this barrier could allow buyers to push the meme coin to $0.564.
If Dogecoin price disregards all the bullish hints stated above and shatters the falling wedge’s lower trend line at $0.265, it would suggest a weak buying pressure. If such a move were to occur, DOGE could free fall 20% to the next support level at $0.211.
In a worst-case scenario, the barrier at $0.143 will act as a last line of defense for the meme coin.
Disclaimer: This is NOT financial/investment advice.
