Dogecoin 12% Rally Threatened By Potential Price Drop – Here’s Why

Christian Encila

2 years ago

2 mins read

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Dogecoin (DOGE) has recently experienced a surge in price, leaving many investors upbeat. But just as quickly as it rose, the future of Dogecoin is being challenged by a looming danger that could cause its value to plummet.

According to Coingecko, the price of DOGE currently stands at $0.093031, marking a 3.0% increase in the past 24 hours and an impressive 11.6% surge over the last 7 days.

Can Dogecoin’s price sustain its recent surge, or will the looming obstacle keep this beloved meme coin at bay?

Increasing Volatility Could Cause Sharp Downturn In Dogecoin Price

Dogecoin’s price over the past 24 hours on TradingView reveals a bullish trend, characterized by higher highs and higher lows formation, with the support level expected to hold firm around $0.08830.

Despite the moving average being below the current price at $0.0859, buying pressure continues to be present in the market. However, there are indications that the volatility is increasing, potentially leading to a slump in price in the coming days.

Moreover, the relative strength index (RSI) score of 60.93 highlights the current price to be in the overbought territory. As a result, there is a risk that Dogecoin’s price may experience a sharp downturn.

Analysts Warn Of Potential Correction In DOGE Price

As Dogecoin’s price continues to climb, investors and enthusiasts alike are curious about the future of this cryptocurrency. Based on the information gleaned from the price chart analysis, it seems that the crypto’s price may face some uncertainty in the coming days.

The increasing volatility and overbought RSI score are signs that the current price levels may not be sustainable, and a sharp downturn could be on the horizon.

DOGE total market cap now at $12.9 billion on the daily chart at TradingView.com

While it’s challenging to predict the exact price that Dogecoin will reach, analysts believe that the potential for a correction is likely. The resistance level for the cryptocurrency is at $0.0968, which could act as a barrier preventing the price from increasing any further. On the other hand, the support level at $0.08830 could prevent the price from dropping too low.

It’s essential to note that cryptocurrency markets are notoriously unpredictable, and price fluctuations can happen at any time. Therefore, it’s crucial to approach investments in cryptocurrencies with caution and not to invest more than one can afford to lose.

-Featured image from Pixabay

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.