- Dogecoin price continues to find bids around an important support area of 52.6
- A crucial contracting triangle pattern is formed on the hourly chart, which might ignite a break moving ahead.
- Buyers are attempting for a break, and if they succeed we might witness gains in the near term.
Dogecoin price is eyeing a break moving ahead with resistance around 54.0-5 Satoshis and support near 53.0 Satoshis.
The Dogecoin price recently traded close to the 52.5 Satoshis support area where buyers appeared to defend more downsides. Sellers tried many times to clear the mentioned support area, but they failed to overcome buying pressure. The price is currently correcting higher and trading near 53.0 Satoshis. There is a contracting triangle pattern formed on the hourly chart, which might act as a catalyst for a break in the near term.
The triangle resistance trend line is coinciding with the 23.6% Fib retracement level of the last drop from 58.4 Satoshis to 52.6 Satoshis. So, if there is break above the triangle resistance, the price might head higher towards the 38.2% Fib retracement level. The price is currently above the 100 hourly simple moving average, which is a positive sign and might help buyers to gain momentum. The hourly RSI is also above the 50 level, which is another bullish sign in the near term.
If the price moves lower, then it might find support near the 100 hourly SMA. A break below it might set the price for a test of the triangle lower trend line. Buyers must defend it in that situation if they have to remain in control.
Intraday Support Level – 51.0 Satoshis
Intraday Resistance Level – 58.0 Satoshis
The hourly RSI and MACD are positioned on the positive zone, highlighting more gains.
Charts courtesy of Trading View