Top 3 Trending Cryptocurrencies Dogecoin, Cardano, Stellar: DOGE bulls aim for $0.20, fresh record highs

Last Updated July 23rd 2021
7 Min Read
  • Dogecoin prepping up for the next upsurge after a brief consolidation phase below $0.1450 key barrier.
  • Cardano challenges ascending triangle resistance at $1.50 on the 12H chart, overbought RSI warrants caution.
  • Stellar needs to defend this key support on the 1D chart amid ongoing price-RSI negative divergence.
  • As the euphoria across the crypto space, induced by Wednesday’s direct-listing of the cryptocurrency exchange Coinbase Global Inc. (COIN) on Nasdaq, subsides, the most widely traded digital assets are accumulating their recent gains.

    The pioneer cryptocurrencies Bitcoin is trading above $62,000 while the top trending DeFi tokens, including, Dogecoin, Cardano and Stellar, are awaiting a strong catalyst for the next direction.

    The Shibu Inus-inspired digital asset, Dogecoin, literally rose “to the moon” to clinch record highs after garnering fresh support from a billionaire entrepreneur Mark Cuban and an American restaurateur Guy Fieri.

    Cuban tweeted out: “We have now sold more than 122k Doge in merchandise! We will never sell 1 single Doge ever. So, keep buying.” Meanwhile, Fieri noted that “rollin’ out to the MOON #Dogecoin”.

    Not to forget, Dogecoin continues to remain the most favourite of Elon Musk, the found of Tesla Inc.

    Encouraging fundamental news also boosted Cardano after The Occam Association announced on Wednesday that its initial decentralized exchange offering of the OCC token ends successfully.

    Darren Camas, an early advisor to the Cardano ecosystem and strategic partner of Occam.fi, said: “It shouldn’t go without recognition that what Occam.fi has achieved is essentially the very first launchpad event for the Cardano ecosystem.”

    Meanwhile, for Stellar, the trading volume is reducing over the past 24 hours, which suggests that the price is primed for a significant move.  

    How are these trending cryptocurrencies positioned on the technical graphs?

    Dogecoin: Buyers awaiting a bull pennant breakout on the 4H chart to place aggressive bets

    Benefiting from a new wave of celebrity endorsements, the meme-based coin extended its parabolic rise to record an all-time-highs of $0.1466 on Wednesday.

    The DOGE bulls have entered a phase of consolidation ever since, gathering strength for taking on the next northwards journey.

    In doing so, the spot has carved out a bull pennant formation on the four-hour chart, with the validation likely to accrue on the four-hourly candlestick closing above the falling trendline resistance at $0.1364.

    On a bullish breakout, the DOGE buyers would once again aim for the record highs, above which the $0.15 round figure could be tested.

    Dogecoin needs to chew the offers around the $0.20 psychological barrier, in order to reach the pattern target measured at $0.2129.

    The Relative Strength Index (RSI) holds just beneath the overbought territory at 69.70, suggesting that there is additional room to rise for the meme coin.

    DOGE/USD: Four-hour chart

    However, if the falling trendline resistance holds, the price could reverse towards the rising trend line support at $0.1252.

    The bull pennant pattern will fail should the price close below the latter on a four-hourly closing basis.

    The sellers would then target the April 14 low of $0.1051.

    Further south, the upward-sloping 21-simple moving average (SMA) at $0.1008 could likely offer strong support to the DOGE/USD pair.

    Read Also: Is Dogecoin a Good Investment?

    Cardano: A rejection once again at $1.50 could trigger a sharp sell-off towards 21-SMA

    Cardano has paused its nine straight days of winning shots, consolidating within Wednesday’s trading range below the critical $1.50 resistance area.

    The so-called Ethereum-killer refreshed lifetime highs at $1.5615 on Wednesday, propelled by a strong buying wave witnessed across the crypto market.

    After a volatile Wednesday, the buyers are catching a breather so far this Thursday’s trading, as the quest for reaching new record highs remains intact.

    As of writing, the ADA/USD pair is battling a seven-week-old ascending triangle resistance at $1.50.

    The ADA buyers have failed to find acceptance above that level on multiple occasions, triggering a sharp sell-off thereafter.

    Once again, Cardano braces for a potential move lower, as the struggle with $1.50 continues.

    Further, with the RSI trading within the overbought region near 75.00, the downside appears more compelling for the token.  

    The ADA bears need to crack Wednesday’s low at $1.3452 to unleashing the downward spiral towards the bullish 21-SMA at $1.2846.

    Ahead of that the psychological magnate at $1.30 could limit the decline.

    ADA/USD: 12-hour chart

    A 12-hourly candlestick closing above the mentioned critical barrier at $1.50 could yield a bullish breakout from the ascending triangle, calling for a test of the record highs.

    Further up, the $2 mark would be on the buyers’ radars.

    “Ascending triangles are often called continuation patterns since the price will typically breakout in the same direction as the trend that was in place just prior to the triangle forming,” per Investopedia.

    To conclude, the ADA/USD pair could see a retracement in the near term before the uptrend resumes.

    Check Out: Why Cardano Is Going To Explode

    Stellar: Sellers look for acceptance below the $0.6025 level to extend control

    XLM/USD has returned to the red zone on Thursday after hitting yearly highs at $0.6983 a day before.

    Despite the corrective pullback extending to the second straight day, the XLM bulls have managed to find their feet above the two-month-old horizontal trendline (orange) on the daily chart at $0.6026.

    Note that the abovementioned support represents the neckline of the round bottom formation, which got confirmed on Tuesday.

    A daily closing below the latter could fuel a sharp sell-off towards the April low of $0.5502.

    The next significant support for the buyers is aligned at the $0.50 barrier, below which the upward-pointing 21-daily moving average (DMA) at $0.4889 could be back in play.

    The correction from yearly tops could likely extend as the chart continues to show negative price-RSI divergence.

    This is portrayed by the spot forming higher highs while the RSI has flattened out over the same period.

    XLM/USD: Daily chart

    However, if the pattern neckline resistance-turned-support holds the fort, the 2021 highs could be challenged once again.

    Should the buying pressure intensify above the last the rounding bottom upside break would extend, exposing the $1 mark.

    Read More: Is Stellar Lumen a Good Investment?