Doge prices have broken through key long-term resistance areas. However, this trend did not lead to a significant increase as expected, and prices are currently close to pre breakthrough levels
Doge prices have broken through key long-term resistance areas. However, this trend did not lead to a significant increase as expected, and prices are currently close to pre breakthrough levels.
Nevertheless, the long-term outlook for the Doge currency remains bullish.
Dog coin prices clear long-term resistance levels
Doge's weekly time frame technical analysis shows that after reaching a historical high of $0.739 in May 2021, the Memecoin has been following a downward resistance trend line. This decline led to a low of $0.049 in 2021.
Afterwards, Doge entered the recovery phase. It began trading above the horizontal support level of $0.060. After six months of unsuccessful attempts, the price of Doge finally broke through the resistance line on July 15th, which has been in existence for an impressive 805 days.
Some speculate that this growth may be attributed to Elon Musk's rebranding of Twitter.
Breakthroughs in this long-term model typically lead to significant price increases as they mark the end of previous trends. However, it is worth noting that the expected price increase has not yet occurred.
Dog Coin Rising relative to Bitcoin (BTC)
The weekly time frame of the Doge/BTC currency pair also shows a bullish outlook. There are two main reasons for this.
Firstly, the price deviated from the 230Satoshi area (green circle below) and returned to that area. Deviation and recovery are decisive bullish trends, usually leading to significant increases.
Due to the fact that the area had already existed for 900 days at the time of deviation, this increase in the importance of this measure.
Subsequently, the price of Doge broke through the downward resistance line, further indicating a bullish trend.
However, RSI has not yet confirmed a bullish trend. Although the indicator is on the rise, it is still below 50.
If prices continue to rise, the next resistance level will be 370 cong, which is 45% higher than the current price.
Guage believes thatDespite the current dog currencyThe price forecast is bullish, butThe closing price below the 230 Cong and 0.060 USD regions respectively will indicate that the trend remains bearish. In this case, the price may fall to the long-term support level of $0.060.
The above analysis does not provide investment advice
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