A dramatic downturn in the Dogecoin (DOGE) market that occurred between May 2021 and February 2022, with the price plunging by about 85 percent, looks to have come to an end this month.
DOGE had considerable dip-buying when its price fell to roughly $0.10 two weeks ago, culminating in a 30 percent recovery move to $0.14 as of March 27. Meanwhile, the coin’s upside retracement began at a support level that forms a descending funnel pattern, indicating a prolonged bullish turnaround in the next weekly sessions.
A falling wedge pattern happens when the price falls while oscillating between two downward sloping, converging trendlines. In an ideal world, the setup culminates in the price breaking out of the falling range to the upside, increasing by the maximum distance between the wedge’s upper and lower trendlines.
DOGE’s two-week comeback from the wedge’s lower trendline offers up the possibility of it continuing to rise toward the higher trendline — about $0.18. As a result, breaking over the upper trendline exposes Dogecoin price gain to $0.37, a price increase of more than 150 percent from today’s pricing.
When it comes to anticipating bullish chart patterns, veteran investor Tom Bulkowski believes a falling wedge is a bad performer due to its high breakeven failure and low average price. According to a research of 800 transactions, the likelihood of a falling wedge breakout hitting its bullish goal is approximately 62 percent.
A sharp decline from the resistance level, backed by an increase in volume, might see Dogecoin test the 0.786 Fib line near $0.10 as its interim downside objective. A strong rise above the range, on the other hand, might result in a prolonged upward momentum towards $0.24, with an eye on $0.30 and $0.37. (also the falling wedge target).
A strong rise above the range, on the other hand, might result in sustained positive momentum above $0.24, with an eye on $0.30 and $0.37. (also the falling wedge target).
25 Jan 2023
23 Jan 2023
© 2015-2022 Coinposters. All rights reserved!