DOGE Price Analysis: Will Dogecoin Ignite A Rally in Memecoins With $0.065 Breakout?
Elena R22 Aug 20231 min read
In the ongoing correction, Dogecoin falls 25% in value in just 23 days, reaching the bottom support level of $0.60. Falling around 20% last week, the crashing markets fueled the negative cycle in Dogecoin, breaking multiple support levels.
However, the meme coin finds support and hatches a reversal plan to reboot a bull run.
Dogecoin Sellers Dominate The 1-Week Charts
In the 1-week chart, Dogecoin presents a sharp downtrend within a falling wedge since November 2022. Completing the recent negative cycle, the lower price rejection from the support trendline and buoyancy above $0.060 teases a sharp upcycle.
Moreover, the reversal rally can challenge the overhead resistance trendline moving along with the 50-week EMA. In the case of the confluence resistance breakout, Dogecoin is set to embark on a solid bullish path.
DOGE Buyers Hatch A Reversal Plan
Following the drastic crash last week, the DOGE prices manages to avoid a downfall at $0.060. Dogecoin forms a double bottom pattern in the 4H chart, leading to a sideways trend, teasing a potential reversal.
With a neckline at $0.065, the breakout rally can improve the meme coins sentiments and helps an overall sectorial betterment. The breakout rally will likely face the 50-day EMA before challenging the $0.070 mark.
On the flip side, a bearish continuation will lead to a $0.060 breakout dropping Dogecoin to lower levels. As per the Automatic Fibonacci trend retracement, the support levels after the $0.060 breakout are present at $0.056 and $0.053.
