Analyst Predicts 45% Dogecoin Rally With Bull Flag Pattern
Dogecoin analyst spots bull flag.
Strong price rise under overbought circumstances.
Future pricing analysis.
With the price around $0.41600, Dogecoin (DOGE) remains optimistic.
DOGE is over 70, signaling a retracement, after its recent strong surge.
Dogecoin Overbought and Uptrending Dogecoin has been bullish since November, rising rapidly.
This surge sent DOGE over the upper Bollinger Band. The asset may be overbought despite significant purchasing demand.
DOGE may see a market downturn as the Relative Strength Index (RSI) rises to 91.44, far over the overbought threshold.
The higher Bollinger Band sometimes indicates overbought. If traded over it, the price may encounter resistance.
A consolidation phase is normally followed to enable the asset retain its position before rising again.
DOGE might consolidate before rising again if it pulls back to the middle Bollinger Band, at $0.20385.
Resistance is at $0.41600, the current high. DOGE may face negative selling pressure if its price fails to rise.
Support begins around $0.35737. If a further retreat happens, it is around the present price and the middle Bollinger Band at $0.20385.
Analyst points to $0.35 support and bull flag pattern Short-term, expert Ali says Dogecoin is developing a bull flag pattern, suggesting a price increase.
Bull flag creation includes an upward surge. Before the ultimate surge, a falling pattern sideways corrective occurs.
Such a pattern shows purchasers are preparing for a rise. That is if DOGE breaks the consolidation zone.
For this pattern, $0.35 is essential support. A bull flag and persistent DOGE purchasing demand would be confirmed by holding over $0.35.
A price breach below the level may undermine the bullish picture, leading to greater drop and pattern invalidation.
If the bull flag holds, this objective based on the initial rally height suggests a big rally.
