Journalist
Posted:
Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- Dogecoin was trading just below the $0.1 level, a high that has not been tested for a year
- Bitcoin’s next trend could have a strong impact on DOGE
Dogecoin [DOGE] has performed well in the markets since October. In fact, a recent report shows that yet another meme coin has outperformed DOGE over the past week. Whether that trend can continue remains to be seen.
What was clear, however, was that DOGE bulls had strong conviction in the prevailing uptrend. Previous resistance, just below $0.1, reversed to support, paving the way for another surge past highs not seen since last December.
One after another, each of the previous lower highs reversed to support
Source: DOGE/USDT on TradingView
Dogecoin’s uptrend started on October 28 when both the November 2022 trendline resistance and the three-day market structure were broken. Since then, DOGE has moved inexorably forward.
The resistance at $0.1065 extended until February 2022. At that time, it served as support for a few days before succumbing. In December 2022 and April 2023, this region functioned as a supply zone. It was still a resistance zone, but the $0.095 level appeared to have turned to support.
On-Balance Volume and RSI showed steady buying pressure and strong bullish momentum, respectively. DOGE offered a buy opportunity with a void just under $0.1, targeting $0.1065, $0.112, and $0.131.
The volatility of the past few days has wiped out liquidity at both extremes
Source: Hyblok
On December 11, Dogecoin climbed to $0.10725 and just a few hours later fell to $0.0927. This came in the wake of increased market volatility as Bitcoin fell from $44,000 to $40.4k.
How much is 1, 10 or 100 DOGE worth today?
At the time of writing, the liquidation heatmap showed the next major liquidity pool at $0.088 in the South and $0.108 in the North. Based on AMBCrypto’s technical analysis, a further increase is likely. A move below the $0.092 mark would indicate that $0.088 or lower is the next move for the meme coin.
