Dogecoin Price Forecast: DOGE Uptrend Slows Down Ahead of Another Launch to the Moon
- Dogecoin's majestic liftoff to $0.7 stuns the cryptocurrency market.
- Correction from the historical high seeks support above $0.6.
- The ascending triangle pattern breakout points at potential gains to $1.72.
Dogecoin finally fulfilled 'Doge day' wishes as it rallied to new all-time highs of $0.7. The meme coin has sustained incredible growth from the beginning of the year. Its association with Tesla's founder Elon Musk has gained a massive social media following. Besides, investors find it the best regarding speculation and high-risk investment.
Dogecoin gigantic upswing brakes
The rally in the last couple of days has seen DOGE grow both in price and market share. As the price brushed shoulders with $0.7, the market capitalization hit highs close to $85 billion, pushing Dogecoin to the fourth position in the market.
Dogecoin's market share is larger than Ripple's (XRP) at writing. It is trading at $0.61 in the wake of a minor retreat from the record high. The bulls' primary focus is to secure support at $0.6 and resume the uptrend toward $1
A comprehensive look at the four-hour chart brings to light an ascending triangle. This pattern usually forms amid an uptrend. It highlights a consolidation period as bulls battle for a breakout. The horizontal line (x-axis) shows that sellers are still in control, while the hypotenuse reveals that buyers are gaining traction.
A breakout occurs before the trend lines meet, thus confirming the ascending triangle. A spike in volume validates the breakout, which has an exact target measured from the highest to the lowest points.
DOGE/USD four-hour chart
The ascending triangle can be used to predict Dogecoin's potential upswing to $1.7, following a 288% uplift. Support at $0.6 will ensure that market stability is secure, allowing bulls to focus on revisiting highs around $0.7 and extend the up leg to $1.
Looking at the other side of the fence
The Moving Average Convergence Divergence (MACD) indicator shows that the uptrend is losing traction. Following the recent rally, the indicator hit highs of 0.075. However, it shows signs of retreat in addition to the MACD line (blue) crossing under the signal line. If the incoming technical picture is unchanged, Dogecoin will likely drop, erasing most accrued gains.