The price of Dogecoin (DOGE) recently climbed to $0.48, its highest level since 2021, while overtaking Porsche in terms of market capitalization at $58 billion.
However, indicators such as the EMA lines suggest that the current uptrend may be losing momentum, with a potential reversal on the horizon.
DOGE Ichimoku Cloud Shows Potential Shift in Sentiment
The Ichimoku cloud chart for Dogecoin shows a consolidation phase. The price is currently trading near the Kijun-Sen (orange line) and the Tenkan-Sen (blue line).
DOGE Price hovers around the edge of the cloud (Senkou Span A and B), indicating uncertainty in momentum. Although price has not yet fallen decisively below the cloud, its proximity indicates that bullish momentum is weakening and the cloud may now serve as a key support area.
The structure of the green cloud suggests that medium-term support is intact for now, but the lack of a strong upward move above the Tenkan-Sen and Kijun-Sen lines reflects market hesitation.
If DOGE price fails to regain higher levels and slides below the cloud, this could signal the start of a downtrend. On the other hand, a sharp move above the Kijun-Sen with increasing volume could restart the bullish momentum and push the price higher.
Current Dogecoin trend no longer strong
The DOGE DMI chart shows that its ADX fell to 18.7 from 25 in a single day, signaling a weakening trend. The ADX, or Average Directional Index, measures the strength of a trend, regardless of its direction, on a scale of 0 to 100.
Values above 25 indicate a significant trend, while values below 20 suggest a weak or no trend. This drop in ADX suggests that DOGE recent momentum is losing momentum and the market could enter a consolidation phase.
With the positive directional indicator (D+) at 19.3 and the negative directional indicator (D-) at 17.7, the marginal dominance of D+ over D- reflects a slight bullish bias. However, the narrow gap between the two indicators highlights an indecisive market, in which neither buyers nor sellers have strong control over the market.
For Dogecoin To establish a clear trend, either D+ must increase significantly to confirm new bullish momentum, or D- must increase to indicate increasing bearish pressure. Until then, price movements will likely remain limited.
DOGE Price Prediction: Can It Hit $0.50 Soon?
DOGE Price recently reached its highest level since 2021, peaking at $0.48 on November 23. It now boasts a market capitalization of $58 billion, surpassing iconic carmaker Porsche’s $56 billion.
If DOGE price manages to regain its bullish momentum, it could retest the $0.48 resistance level and potentially reach $0.50 or even $0.60, moving closer to its all-time high.
However, DOGE’s EMA lines indicate that the current trend may reverse and turn into a downtrend as the formation of a deadly crossover may occur soon. If Dogecoin Price If the price breaks below the critical support level of $0.36, it could fall further to $0.14, marking its lowest level since early November.
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