Dogecoin (DOGE-USD) the price is showing signs of difficulty, according to crypto analyst Kevin Capital. In an article X, he pointed out that Dogecoin had triggered its first sell signal since the start of its bull run, which could signal a potential slowdown. However, Capital clarified that this is not set in stone, as Dogecoin still needs to confirm the sell signal on the weekly chart to solidify the bearish outlook.
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Despite this, Capital notes that there are several key bearish indicators in play. For example, the moving average convergence/divergence (MACD) suggests that bullish momentum is slowing. Additionally, the Stochastic RSI is approaching a bearish crossover, which could weaken the price further. “Three strong indicators currently show that a decline could be imminent,” he said.
Bullish indicators still in play for Dogecoin
Although caution is required, some analysts remain optimistic about Dogecoin price. Despite the bearish signals, Capital highlighted that Dogecoin still looks bullish overall. He highlighted a positive money flow indicator, suggesting that there is still significant market interest in the meme coin. In the volatile world of crypto, Capital emphasizes the importance of remaining objective: “There is no reason to be constantly bullish or bearish. It’s important to stay clear-headed.”
Other analysts predict bullish momentum for Dogecoin
Generally speaking, other analysts like Trader Tardigrade and Rekt Capital are more positive about Dogecoin’s prospects. Tardigrade, in an article X, noted that Dogecoin had broken out of a bullish pennant pattern, which could push the price to $1.30. Meanwhile, Rekt Capital observed a breakout of an ascending triangle, suggesting a possible rally to $0.56.
Dogecoin shows strong performance despite market volatility
Dogecoin has had a wild ride in 2024, consolidating around the $0.40 range but still managing to post significant gains. November was particularly strong, with Dogecoin posting its best monthly close this year and a 161% gain for the month. Year to date, DOGE is up over 375%a strong recovery after the difficulties of the middle of the year. If the positive predictions hold true, Dogecoin could continue its upward momentum.
