Dogecoin price increased by 4.9% in the last 24 hours to trade at $0.372 on November 18. The meme coin seems to have hit a blockade as it has begun consolidating around this price level. This could be due to investors booking profits and rotating them into other lower market-cap cryptocurrencies. Can DOGE price surge 200% in the face of this blockade?
Dogecoin Price Stalls After Recent Rally
DOGE price rose to an intraday high of $0.3742 before dropping to $0.3501. At press time, the cost of DOGE has increased by about 5%. Just 5 days ago, DOGE surged over 10% after President-elect Donald Trump announced that Elon Musk would lead the newly proposed Department of Government Efficiency (D.O.G.E).
As the hype surrounding this development wanes, the price of DOGE has stabilized over 259% higher than last month.
The current price also marks a zone of historical resistance where the price was previously unable to surpass twice. Generally, investors and traders tend to use historical resistance zones as profit-taking targets.
Can DOGE Achieve a 200% Surge by Year-End?
Dogecoin price forecast suggests the meme coin rally is not over yet. Recent candlesticks inside the triangle reflect indecision, typical before a breakout. The low-volume candles indicate reduced selling pressure, favoring a bullish breakout.
The chart shows high trading volume during the initial uptrend, validating the strength of the upward movement.
Volume decline in the triangle supports a potential breakout, as triangles often precede impulsive moves.
The relative strength index (RSI) confirms an overbought region, which means the likelihood of a bullish continuation is higher.
The impulsive move from $0.14 to $0.44 suggests a completed Wave 1. The current triangle likely represents a Wave 2 correction or consolidation phase. If confirmed, Wave 3 may push significantly higher, potentially 200% to $1.35
Key Resistance Levels to Watch for DOGE Price
The DOGE price chart exhibits a strong upward trend, followed by a consolidation phase forming a symmetrical triangle. This suggests a potential continuation of the bullish trend upon breakout.
Upon breakout, DOGE price could find further resistance levels around $0.44 (Recent high at 0%), $0.51, which coincides with the 27.0% Fibonacci extension, and $0.91 (161.8% Fibonacci extension).
On the flip side, $0.32 at the 38.2% Fibonacci retracement level may provide strong immediate support, while below that, DOGE could find support at $0.14, which is a key long-term support)
What’s Driving Dogecoin Price Momentum?
The current development of the Department of Government Efficiency (D.O.G.E) and the ongoing changes happening across the U.S. government that favor cryptocurrencies have been fueling the Dogecoin price momentum.
DOGE price is likely to surge even higher as the days draw near President-elect Donald Trump’s inauguration.
Frequently Asked Questions (FAQs)
Dogecoin’s price appears to have hit a resistance zone around $0.37, possibly due to profit-taking by investors and reduced buying momentum after recent announcements.
Yes, Dogecoin has a chance to rally 200% if it breaks out of the current consolidation phase. Technical indicators like the triangle pattern and strong volume trends suggest a potential move higher.
The main drivers include changes in the U.S. government’s pro-crypto stance and the market’s anticipation of Elon Musk’s role in new crypto initiatives, increasing investor confidence.
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Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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<p>The post Can Dogecoin Price Surge 200% After Hitting a Blockade? first appeared on CoinBuzzFeed.</p>
