Dogecoin has held its position well since last week’s price drop. Yet over the past few days, the price has steadily dropped. The probability of the entity witnessing a major rupture soon grows stronger. Currently, Dogecoin is ranked 7th on CoinMarketCap with a market cap of $38.7 billion.
6 hour Dogecoin price chart
After the sudden recovery in the previous week, Dogecoin has steadily and consistently lost value. DOGE seems ready to break the symmetrical triangle pattern, which has previously managed to avoid a major breakout. The pattern shows the possibility of movement on both sides but the indicators are largely bearish.
The initial downtrend can be observed between declining volumes and rising price action. The 50 Moving Average continued to ease the crypto’s overall resistance and the SSL indicator is giving a sell signal as the red line is bearish.
Currently, the Relative Strength Index (RSI) hints at an increase in sellers’ dominance and a strengthening in selling pressure. Looking at the MACD, the orange line hovers above the blue line, reinforcing the downtrend.
Ironically, the Awesome Oscillator suggests that the bullish momentum for Dogecoin is increasing. However, this is a finding that will likely be invalidated in the future.
The worst case scenario for Dogecoin could be a retest of $0.21. But the $0.21 to $0.18 range is a demand zone that could allow the coin to facilitate stronger upward moves after the pullback. Market momentum will play a key role going forward.