Dogecoin sellers appear to take a breather, although DOGE remains on the defensive so far this Sunday, especially in light of Wednesday’s massive crash.
During the midweek market meltdown, Dogecoin price lost as much as 55% at one point before closing the day 30% lower around the price of $0.33.
Elon Musk, Tesla Inc’s founder, tweets after the crash failed to offer any respite to the meme-based coin, as China’s regulatory clampdown on the cryptocurrency markets outweighed the optimistic remarks from the world’s third-richest person.
"Yeah, I haven't & won't sell any Dogecoin," Elon Musk said on Twitter in response to a tweet on Thursday claiming he would never sell any of his dogecoin holdings and that he was the "ultimate hodler".
The sixth rank digital currency, with a market capitalization value of $43.67 billion has immensely benefited by the celebrity endorsement so far this year, as it remains Elon Musk’s most favorite cryptocurrency.
Dogecoin’s price four-hour chart shows that the price is in a consolidative mode below the critical level short-term 21-simple moving average at $0.3623.
Despite the Crypto market turbulence experience this week, the Dogecoin price continued to trend within the two-week-old falling wedge formation.
The Relative Strength Index points south towards the oversold territory while currently trading at a price of 37.20.
Therefore, the Dogecoin price bears could test the falling wedge support at $0.2602 if a fresh selling pressure grips the broad crypto space.
The swing low of $0.1950 could be retested should the DOGE price yields a falling wedge breakdown.
However, a price rebound from the wedge support could call for a test of the 21-SMA resistance, above which the 200-SMA at a price of $0.4199 could be challenged.
The next DOGE bullish target aligns at $0.4304, where the 50-SMA and wedge resistance level coincide.
A four-hourly candlestick pattern closing above the latter would confirm a wedge breakout, with the descending 100-SMA at a price of $0.4841 emerging as the immediate hurdle.
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