Dogecoin price analysis: DOGE prepares for comeback, eyes 35% upswing to $0.4

Dogecoin Price Analysis

TL;DR Breakdown

  • Dogecoin is ready for a reversal after a struggling period since Mid-August
  • Demand zone bounce from $0.262 to $0.281 suggests a resurgence of buyers
  • However, the bullish thesis will be invalidated if price falls below $0.24 support

Dogecoin price analysis shows that the cryptocurrency is set for a more progressive shift upward, as it went past the $3 mark on September 2. After a lengthy retracement period that started after the August 16 high of $0.34, the critical support of $0.24 was breached, triggering an upswing.

The larger demand zone is set between $0.26 to $0.28, but a breakout past this range is likely as support gathers. DOGE is up 14 percent since the start of the month, and is expected to test the resistance levels near $0.3028.

The larger cryptocurrency market fluctuated downwards during the day after a positive start. The largest cryptocurrency Bitcoin managed to stay above the $50,000 mark after recording a loss of 0.23 percent. Ethereum was down 1.5 percent as well, to finish at $3,871

Altcoins performed worse, with Cardano down near 3 percent, Ripple 2.75 percent, the same as Polkadot. Dogecoin showed a different trend, rising 0.18 percent at the time of writing, to record at $0.29.

Dogecoin price analysis: DOGE prepares for comeback, eyes 35% upswing to $0.4 1
Cryptocurrency Heat Map. Source: Coin360

DOGE/USD 24-hour chart: Bullish engulfing pattern confirmed as $0.3 mark continues to be tested

The 24-hour chart for DOGE/USD pair confirms the appearance of a Bullish Engulfing Pattern since the start of the month. It is the first time the pair has crossed the Simple Moving Average (SMA) of $0.28.

The Relative Strength Index (RSI) sits at 56, which suggests there is some room for buying momentum. The price also sits near the middle Bollinger Bands at $0.29, showing that the pair is slightly overbought at current price. Going forward, Dogecoin price analysis shows the upswing is expected to continue up to 35 percent till the next resistance point is set at $0.368.

Dogecoin price analysis: DOGE prepares for comeback, eyes 35% upswing to $0.4 2
Dogecoin Price Analysis: 24-hour chart. Source: Trading View

DOGE/USD 4-hour chart: Ascending triangular pattern in play with overwhelming green shoots

The 4-hour price chart for the DOGE/USD pair in Dogecoin price analysis shows that an ascending triangular pattern has formed. It is where each red candlestick is followed by a trend reversal and the following seller-dominated trade session takes place at a higher price.

The last 3 trading sessions confirm bullish action where price has moved significantly above the SMA and heading for consolidation near the $0.3 mark. As the current trade session continues, a buyer dominated closure is expected as price moved up from $0.295 to $0.30.The 4-hour RSI is the same as for the 24-hour close, at a mid-value of 56.

Dogecoin price analysis: DOGE prepares for comeback, eyes 35% upswing to $0.4 3
Dogecoin Price Analysis: 4-hour chart. Source: Trading View

Dogecoin price analysis conclusion

Dogecoin price analysis confirms that the pullback commencing after the August 16-high pushed the token down to the $0.24 support, from where it has propelled the meme cryptocurrency towards settlement near the $0.3 mark. From here, a 35 percent upswing is expected in the run-up to $0.40.

The current trend is expected to continue till resistance is met at $0.328, and a decisive close from here will open the door towards $0.40. However, if buyers fail to provide momentum, DOGE may pull back towards the demand zone at $0.262 to $0.281. In case of a further decline, support at $0.24 may be breached and the bullish thesis invalidated.

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.

Razi Khan

Razi Khan

A Master's graduate in Renewable Energy Systems from England, UK, Razi is a tech-enthusiast. He's served as a content specialist for BlockPublisher in the US and has been an avid member of the crypto space as a journalist, trader, investor and analyst since 2018.

Related News

Hot Stories

Aave price analysis: Bearish strain brings price below $87 as AAVE encounters a 13 percent loss
Bitcoin price analysis: Massive crash incoming as BTC touches $21,404
Polkadot price analysis: Price levels down to $7.84 as bearish pressure still persists
Bitcoin, Ethereum, Celsius, and Stacks Daily Price Analyses – 18 August Roundup
NFT collaterals soar on BendDAO: Is the NFT market about to collapse?

Follow Us

Industry News

Best Twitter thread of the day - August 18th
Top tweets of the day - August 18th
Redditor create a bot for crypto price predictions
Korean police set to accept crypto for traffic fines after 88% program success
How to bridge to Dogechain?