Dogecoin finds itself traversing important support levels this morning after a quick spike upwards in late trading yesterday proved to be short-lived.
DOGE/USD has not been able to escape its lower price realm. A sudden violent move upwards in late trading on Sunday saw Dogecoin launch upwards and move over 12 cents, but the rocket higher ran out of fuel quick, and as of this writing, DOGE/USD is now slightly below 11 and half cents. The short and mid-term trend for Dogecoin remains uninspiring technically.
DOGE/USD has been a major part of the broad cryptocurrency market for a few years as an important barometer of risk appetite. While DOGE/USD has no utilitarian purpose, besides perhaps the potential of buying some Tesla marketing gear depending on the mood of Elon Musk. Dogecoin has allured speculative traders to its midst as a way to achieve quick hitting wagers with the capability to create massive profits (and losses) in the blink of an eye.
Unfortunately, for the time being, DOGE/USD continues to act in a sluggish manner and this is not a new development. Since reaching its apex highs in May of 2021 when Dogecoin toyed with the 76 cents mark, the speculative asset has languished within a downwards slump. Yes, there have been reversals higher but incrementally with a long term viewpoint; technically DOGE/USD has not delivered the results that many ‘hold on for dear life’ proponents have wished.
The broad cryptocurrency market has taken another turn for the worse this past weekend and many of DOGE/USD major counterparts are also struggling near critical support levels. Speculative optimists who are willing to risk their money by wagering on upside movement should take a look at technical charts which show DOGE/USD remains magnet like near important support ratios. If the 11 cents support level proves vulnerable near term, the 10 and half cents mark will be viewed as a target by some traders.
Speculators need to use entry price orders to guard against unexpected fills. DOGE/USD is very capable of delivering a large amount of volatility with a burst of energy. Last night’s move higher was welcome by bullish traders, but unless they had their take profit orders working, they likely weren’t able to cash out near the highs which were briefly demonstrated. Selling DOGE/USD with realistic targets which aim for existing support levels remains a logical wager for speculators who believe Dogecoin has further room to move downward.
Dogecoin Short-Term Outlook
Current Resistance: 0.11750000
Current Support: 0.10990000
High Target: 0.12580000
Low Target: 0.10500000
Source link
