Dogecoin price increased by 4.9% in the last 24 hours to trade at $0.372 on November 18. The meme coin appears to have been stuck as it has started to consolidate around this price level. This could be because investors are taking profits and moving them into other cryptocurrencies with lower market caps. Can the price of DOGE increase by 200% in the face of this blockade?
Dogecoin price stagnates after recent rally
DOGE Price reached an intraday high of $0.3742 before falling to $0.3501. As of press time, the cost of DOGE has increased by approximately 5%. Just 5 days ago, DOGE jumped over 10% after the president was elected Donald Trump announced that Elon Musk would lead the new Department of Government Effectiveness (DOGE).
As the hype surrounding this development wanes, the price of DOGE has stabilized at over 259% from last month.
The current price also marks a historical resistance zone where the price was previously unable to exceed twice. Generally, investors and traders tend to use historical resistance zones as profit-taking targets.
Can DOGE achieve a 200% increase by the end of the year?
Dogecoin Price Forecast suggests the meme coin rally isn’t over yet. Recent candlesticks inside the triangle reflect indecision, typical before a breakout. Low volume candles indicate reduced selling pressure, favoring a bullish breakout.
The chart shows high trading volume during the initial uptrend, validating the strength of the uptrend.
Decreasing volume in the triangle favors a potential breakout, as triangles often precede impulsive moves.
The relative strength index (ROI) confirms an overbought zone, which means that the probability of a bullish continuation is higher.
The impulsive move from $0.14 to $0.44 suggests a completed wave 1. The current triangle likely represents a correction or consolidation phase of wave 2. If confirmed, wave 3 could rise significantly, potentially 200% to $1.35.
Key Resistance Levels to Watch for DOGE Price
The DOGE price chart shows a strong upward trend, followed by a consolidation phase forming a symmetrical triangle. This suggests a potential continuation of the uptrend in the event of a breakout.
Upon breakout, DOGE price may find further resistance levels around $0.44 (recent high at 0%), $0.51, which coincides with the Fibonacci extension at 27.0 %, and $0.91 (161.8% Fibonacci extension).
On the other hand, $0.32 at the 38.2% Fibonacci retracement level could provide significant immediate support, while below, DOGE could find support at $0.14, which is support long-term key.)
What’s Driving Dogecoin Price Dynamics?
The current development of the Department of Government Efficiency (DOGE) and ongoing changes within the US government that favor cryptocurrencies have fueled Dogecoin’s price momentum.
DOGE price likely to rise even more as days approach the election of the president-elect Donald Trump’s inauguration.
Frequently Asked Questions (FAQ)
Dogecoin price appears to have reached a resistance zone around $0.37, likely due to investor profit-taking and reduced buying momentum after recent announcements.
Yes, Dogecoin has a 200% chance of rebounding if it breaks out of the current consolidation phase. Technical indicators such as the triangle pattern and strong volume trends suggest potential upside.
Major driving factors include changes in the US government’s pro-crypto stance and market anticipation of Elon Musk’s role in new crypto initiatives, thereby increasing investor confidence.
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Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the gaming industry. His extensive experience includes working with various startups to deliver insightful, high-quality analytics that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across various industries. Outside of his professional activities, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: Content presented may include the author’s personal opinion and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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