Dogecoin Price Breakout Signals Uptrend Despite Losing Ranks in Top 10 Coins
Dogecoin, the popular meme coin, has recently experienced a breakout in its price, indicating a potential uptrend despite losing its position in the top 10 cryptocurrencies by market capitalization. The question that remains is whether this recovery will be enough to put Dogecoin back in the coveted top 10 list, or if it will surpass the $0.10 mark.
The current state of the meme coin is reflecting demand at retest levels, as lower price rejection candles suggest. However, Dogecoin is swimming against the market mood in a negative way and is currently under stress.
Despite these challenges, the DOGE price has shown a healthy recovery this week, hinting at an upcoming uptrend. This recovery comes at a time when Dogecoin has dropped off the top 10 list of cryptocurrencies, signaling a different playing field.
Adding to the volatility is the recent court ruling for Elon Musk to testify once again, further impacting Dogecoin’s price. However, the meme coin seems to be on its way to a recovery or trend reversal, marking the end of the pullback phase.
The recent breakout from the 200-day EMA (Exponential Moving Average) has given the DOGE price some much-needed momentum. The uptrend has even managed to reclaim the 50-day EMA, while ignoring the noise of the news market.
Currently, Dogecoin is experiencing sideways movement following the breakout event, as it retests the broken trendline. Despite this, the closing prices remain above the dynamic average line, reflecting demand at these retest levels.
While Dogecoin has been facing challenges in the news market, characterized by Elon Musk’s testimony and its removal from the top 10 list of coins, the meme coin is still showing signs of recovery. As of now, it is trading at $0.0818 with a 0.85% intraday fall.
Investors are skeptical about whether the DOGE price will reach $0.10, and this hesitation is reflected in the cautiousness of sideline traders. However, the current healthy recovery suggests an upcoming uptrend, making it an attractive entry opportunity for traders at the $0.085 breakout level, which aligns with the 38.20% Fibonacci level.
On the other hand, if Dogecoin loses ground at $0.0799, there is a possibility of a breakout from the 200-day EMA. Only time will tell if Dogecoin can regain its place in the top 10 list or surpass the $0.10 mark, as it navigates through the ever-changing cryptocurrency market.
Analyst comment
Positive news: The recent breakout in Dogecoin’s price indicates a potential uptrend despite its loss of rank in the top 10 cryptocurrencies. The healthy recovery and reclaiming of key moving averages suggest a trend reversal and an attractive entry opportunity at the breakout level.
Short analysis: Dogecoin is showing signs of recovery and potential uptrend after losing rank in the top 10 coins. Traders have an attractive entry opportunity at the breakout level, but a possible breakout from the 200-day EMA could pose a challenge.
