Dogecoin is once again drawing attention as a recent change in its Relative Strength Index (RSI) stirs optimism for potential upward movement. The RSI, a crucial indicator, has hinted at a bullish reversal, suggesting that buying interest could be increasing, placing Dogecoin in a favorable position to reach the significant milestone of $0.1293. With market sentiment shifting towards the bulls, the pressing question is: could this be the moment DOGE surges to new heights?
This article seeks to delve into the recent changes in Dogecoin’s RSI and their implications for prospective price increases. By examining the technical indicators and the market sentiment surrounding this shift, the article will evaluate the probability of DOGE achieving the target of $0.1293.
At the time of this writing, DOGE was trading around $0.1055, reflecting a 0.86% decline over the last 24 hours. The cryptocurrency has a market capitalization of approximately $15.4 billion, with trading volume exceeding $503 million, indicating decreases of 0.08% and 23.74%, respectively.
Technical Analysis: Key Indicators Supporting The Upside
After a recent dip, DOGE’s price on the 4-hour chart is rebounding bullishly, aiming for the $0.1293 target. DOGE is currently trading above the 100-day Simple Moving Average (SMA), which indicates a positive upward trend.
An evaluation of the 4-hour RSI indicates a possibility for further upward movement. The RSI has climbed back to 59% after a previous attempt to dip below the 50% level, indicating that bullish momentum is strengthening.
This durability shows that buyers are actively supporting the price, establishing a conducive environment for continued gains. As long as the RSI remains above this pivotal level, the outlook for upward movement remains optimistic.
On the daily chart, DOGE exhibits positive momentum, noted by several bullish candlesticks. Although it is currently trading below the 100-day SMA, this upward trajectory suggests that bulls are in control and may push the cryptocurrency higher, striving to surpass the 100-day SMA and reach the $0.1293 target.
Lastly, on the 1-day chart, an in-depth analysis of the RSI formation suggests that DOGE may sustain its upward trajectory as the indicator’s signal line has surpassed the 50% mark and currently stands at 54%, indicating a continued bullish outlook.
Resistance Levels: Targeting $0.1293 And Beyond
As Dogecoin upholds its bullish momentum, the next key level to monitor is the $0.1293 mark. If the meme coin successfully breaks this barrier, the subsequent resistance target is anticipated to be around $0.1491, which could further enhance positive sentiment and pave the way for higher price levels.
Conversely, if Dogecoin faces significant resistance at $0.1293, the price might start to decline toward the $0.09149 support level. A breach below this point could signal a continuation of the downward trend, with potential targets at the support range of $0.07456 and below.
Featured image from Adobe Stock, chart from Tradingview.com
