Dogecoin price has continued to consolidate. However, the coin showed signs of recovery on its one-day chart. Over the last 24 hours, the coin hasn’t made much progress.
In the past week, Dogecoin price just moved up by 0.4%, which indicates that the coin is still in a consolidated price range.
The technical outlook for Dogecoin indicated that buyers were not in control of the market at press time. This meant that Dogecoin price was still experiencing bearish pressure.
For Dogecoin to be able to regain the bulls back, it is important that the meme-coin breaks past its immediate price ceiling.
Demand for Dogecoin continued to remain low, which is why the bears could at any point invalidate the brief recovery that the coin made.
If DOGE continues to consolidate over the next trading sessions, the coin could fall to its local support level.
For a rally to happen, the coin has to topple over the $0.07 price ceiling. Only then can the coin attempt to touch the $0.09 price mark.
Dogecoin Price Analysis: One-Day Chart
Dogecoin was priced at $0.05 on the one-day chart | Source: DOGEUSD on TradingView
DOGE was trading for $0.05 at the time of writing. The coin is still trading laterally. Although it tried to climb on its chart, the buyers did not cooperate.
Overhead resistance for the coin stood at $0.06. A break above that can help Dogecoin touch the $0.07 price mark.
A move above the $0.07 mark would help the coin rally to $0.09. On the other hand, support for the coin stood at $0.47.
If buyers don’t return to the market, Dogecoin could also fall from its local support to the $0.03 price zone. In the last trading session, the amount of DOGE traded fell, which meant that the coin was under selling pressure.
Technical Analysis
Dogecoin registered downtick in buying strength on the one day chart | Source: DOGEUSD on TradingView
The crypto was making a recovery in terms of buying strength too. A slight demand would bring the buyers back. This was, however, not the case, as at press time, DOGE logged a fall in buying pressure.
The Relative Strength Index was below the zero-line, and that meant fewer buyers compared to sellers.
The Dogecoin price was also below the 20-SMA line. This corresponded with low demand for the meme-coin and it also meant that sellers were driving the price momentum in the market.
Dogecoin displayed sell signal on the one day chart | Source: DOGEUSD on TradingView
Other technical indicators also showed that the bears were in control of the asset. The one-day chart also showed a sell signal for the asset.
The Moving Average Convergence Divergence indicates the price momentum and direction of the crypto. MACD underwent a bearish crossover and also formed red histograms.
The onset of these red histograms were sell signal for Dogecoin. The Directional Movement Index determines the overall price direction and strength of the same.
DMI was negative as the -DI was above the +DI line. The Average Directional Index (red) fell below 20, which signalled that the current price direction is losing strength.
Featured image from UnSplash, Chart: TradingView.com