The price of Dogecoin (DOGE) recently surged to $0.48, its highest level since 2021. Furthermore, the memecoin surpassed Porsche in market cap at $58 billion.
However, indicators such as the EMA lines suggest that the current uptrend may lose steam, with a possible reversal on the horizon.
Ichimoku Cloud Shows Possible Change in Sentiment
The Ichimoku Cloud chart for Dogecoin shows a consolidation phase. The price is currently trading near the Kijun-Sen (orange line) and Tenkan-Sen (blue line).
DOGE is hovering at the edge of the cloud (Senkou Span A and B), indicating uncertainty at the moment. While the price has yet to break down decisively, its proximity signals that the bullish momentum is weakening, and the cloud may now act as a key support zone.
Ichimoku Cloud Ichimoku DOGE. Source: TradingView
The green cloud structure suggests that medium-term support is intact for now, but the lack of strong movement above the Tenkan-Sen and Kijun-Sen lines reflects hesitation in the market.
If DOGE price fails to reclaim higher levels and drops below the cloud, it could signal the start of a downtrend. Conversely, a clear move above the Kijun-Sen with increasing volume could reignite the bullish momentum and push the price higher.
Current trend is no longer strong
The DMI chart shows that its ADX has fallen to 18.7 from 25 in just one day, signaling a weakening trend. The Average Directional Index, measures the strength of a trend, regardless of direction, on a scale of 0 to 100.
Values above 25 indicate a significant trend, while values below 20 suggest a weak or non-existent trend. This drop in ADX suggests that DOGE’s recent momentum is losing steam, and the market may be entering a consolidation phase.
DOGE DMI. Fonte: TradingView
With the positive directional indicator (D+) at 19.3 and the negative directional indicator (D-) at 17.7, the marginal dominance of D+ over D- reflects a slight bullish bias. However, the small difference between the two indicators highlights an indecisive market with neither buyers nor sellers in strong control.
For Dogecoin to establish a clear trend, either D+ needs to rise significantly to confirm a new bullish momentum, or D- must increase to indicate increasing bearish pressure. Until then, price movements will likely remain limited.
DOGE Price Prediction: Could It Hit $0.50 Soon?
DOGE’s price recently hit its highest level since 2021, hitting $0.48 on November 23. It now has a market cap of $58 billion, surpassing iconic automaker Porsche’s $56 billion.
If DOGE can regain its bullish momentum, it could retest the $0.48 resistance level and potentially rally to $0.50 or even $0.60, moving closer to its all-time high.
DOGE Price Analysis. Source: TradingView
However, DOGE’s EMA lines indicate that the current trend could reverse into a bearish one as a death cross formation could occur soon. If Dogecoin price breaks below the critical support level of $0.36, it could drop further to $0.14, marking its lowest level since early November.
Dogecoin item reaches highest price since 2021; reversal in sight? was first seen on BeInCrypto Brasil.
