Dogecoin analysis, Bulls taking controlHello everyone, as we all know the market action discounts everything :)
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Dogecoin has rallied yesterday and rose over 18%, the coin price has jumped from 0.20360372 to 0.24541493 in one day alone.
The market price has broken the first resistance line at 0.22954000 and closed above it which gives us a small confirmation of a reversal in the bearish market state.
we could be looking at 2 different scenarios for the coin movement in the next few days.
Scenario 1 :
The last movement of the market price showed that the buyers are ready to make a move, the price most likely will keep going up reaching the second resistance line at 0.25165000, when that happens we will see a battle for control between the bears and the bulls, if the bulls were able to keep that control then the price will most likely keep going up until hitting the 3rd resistance line at 0.27038000.
Scenario 2 :
The Bulls took sudden control of the coin price as we see in the last day the price rose more than 18%, the bears most likely won't be standing by they will try to win control again and if that would happen then we could be seeing the price dropping down and hitting the first support line which was resistance before this movement at 0.22954000
and that's where the battle will take place over control of the market, the Bulls will make their move and the price will go back up again and continue just like in the first scenario.
but if the bears were able to hold control then we could be seeing the market going back to a bearish state and dropping even more.
technical indicators showing different signs where we see that :
1) The market price is moving above the 5 10 20 50 200 MA and EMA (Bullish sign)
2) The MACD is still below the 0 line which shows that the market is still in a bearish state, but the current momentum looks to be Bullish and could bring the MACD above the 0 line, A positive crossover is between the MACD line and the Signal line (bullish sign)
3) The RSI at 66.16 showing great strength in the market, and the overbought zone hasn't been reached yet. no divergences were found between the Market and the Indicator.
Support & Resistance points :
support Resistance
1) 0.22954000 1) 0.22954000
2) 0.18870000 2) 0.25165000
3) 0.16997000 3) 0.27038000
Fundamental point of view :
Dogecoin has a way of attracting major brands to the project. First it was consumer products brand AXE, which created a limited supply of physical Dogecans. Nows Oscar Mayer, which is known for its hot dogs, among other food products, is jumping into the meme-coin fray.
The American brand has announced a “limited-edition pack of Hot Doge Wieners that comes with the cash value of 10,000 Dogecoins.” This converts to approximately USD 2K if the Doge price can make its way back up to USD 0.20. The supply is limited as the company only made one pack. In order to be eligible, participants must bid on the auction platform eBay, where the starting bid was USD 0.99.
The response was so immense that while the Dogecoin community might not have broken the internet, they did break the eBay link. According to reports, the bidding has shot up to more than USD 3,400. There is still time for more people to join the auction for the Hot Doge Wieners, as the promotion won’t end until Aug. 7 — if they can get the eBay link working again.
Doge investors were quick to welcome Oscar Mayer to the meme-coin family. The more that mainstream brands embrace cryptocurrencies such as Dogecoin, the greater the chance for wide-scale adoption.
The excitement has yet to spill over to the Dogecoin price, however. Doge is currently trading below the psychologically sensitive USD 0.20 level and is down 2% in the last 24-hour period. According to FXEpmire
This is my personal opinion done with technical analysis of the market price and research online from fundamental analysts for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
