DOG/USD Rebounds from Key Ichimoku Support
Following an all-time high of US$0.4671 in early December 2024, Dogecoin (DOG) had printed a correction versus the US dollar (USD) and rebounded from the Ichimoku Cloud Support area. This support zone was formed following the Ichimoku’s Leading Span A (light green at US$0.3576) crossing above the Leading Span B (light orange at US$0.2965) in the final full trading week of December.
Conversion Line Confirmation
While a rebound from the Ichimoku Cloud Support has been seen, and price action has ventured above the Ichimoku Conversion Line (blue at US$0.3511) and the Base Line (red at US$0.3640), both of which are considered bullish signals, traders will still likely be cautious entering long at current levels. This is due to a concentrated area of resistance around the record high mentioned above and may deter buying at this point.
Price Direction?
Traders exercising caution at current levels will likely monitor the Conversion and Base Lines on the DOG/USD chart. The Conversion Line crossing above the Base Line is often observed as a bullish cue to seek long opportunities, particularly after a rebound from the Ichimoku Cloud. As a result, should the Conversion Line cross above the Base Line, buyers may attempt to challenge all-time highs and possibly tackle their way into unchartered territory.
Conversion Line Confirmation
While a rebound from the Ichimoku Cloud Support has been seen, and price action has ventured above the Ichimoku Conversion Line (blue at US$0.3511) and the Base Line (red at US$0.3640), both of which are considered bullish signals, traders will still likely be cautious entering long at current levels. This is due to a concentrated area of resistance around the record high mentioned above and may deter buying at this point.
Price Direction?
Traders exercising caution at current levels will likely monitor the Conversion and Base Lines on the DOG/USD chart. The Conversion Line crossing above the Base Line is often observed as a bullish cue to seek long opportunities, particularly after a rebound from the Ichimoku Cloud. As a result, should the Conversion Line cross above the Base Line, buyers may attempt to challenge all-time highs and possibly tackle their way into unchartered territory.
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