24-08-2016
01:45 pm
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Coince - Bitcoin Investment Solution

Dogecoin Price Weekly Analysis – Facing Resistance At 55.0 Satoshis




Dogecoin price recently traded above 60.0 Satoshis, where it found sellers and traded down. Can it continue heading lower? Intraday Support Level can be 50.0 Satoshis. Intraday Resistance Level may be 54.0 Satoshis.
Dogecoin Price Weekly Analysis
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Key Highlights

  • Dogecoin price after gaining strength failed and started to move down once again.
  • There is a bearish trend line formed on the 4-hours chart (data feed from HitBTC), which can be seen as a major resistance area for the bulls.
  • The price is also below the 100 simple moving average on the 4H timeframe, which is a bearish sign.

Dogecoin price recently traded above 60.0 Satoshis, where it found sellers and traded down. Can it continue heading lower?

Sell Rallies?

Dogecoin price this past week spiked above the 60.0 Satoshis area where it found sellers that pushed the price back down. The price is currently following a bearish path and it looks like it may continue in the near term. There are many hurdles formed for the bulls on the upside that can be seen as a sell zone.

There is a bearish trend line formed on the 4-hours chart (data feed from HitBTC), which may act as a barrier if the price continues to head higher. The most important point is that the 100 simple moving average on the 4H timeframe is also around the trend line resistance area. Moreover, the 38.2% Fib retracement level of the last drop from the 64.0 Satoshis high to 47.5 Satoshis low is also around the trend line resistance.

Dogecoin Price Weekly Analysis

In short, there is a major resistance formed near 54-55.0 Satoshis, where one may consider selling. On the downside, the 50.0 Satoshis is a short-term support area, followed by the last low of 47.5 Satoshis.

Looking at the indicators:

4-hours MACD – The MACD is in the bearish zone, which is a negative sign for the bulls.

4-hours RSI – The RSI is also below the 50 level, calling for more losses in the short term.

Intraday Support Level – 50.0 Satoshis

Intraday Resistance Level – 54.0 Satoshis

 

Charts from HitBTC hosted by Trading View

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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