DOGE primed for another leg up as technicals turn bullish
- Dogecoin price is contained inside a descending triangle pattern on the 4-hour chart.
- A key indicator is on the verge of presenting a strong buy signal.
- A breakout could quickly push Dogecoin price towards $0.076.
The hype for Dogecoin might have faded away, but the digital asset still shows signs of bullish moves. A key indicator is about to present a buy signal that could drive Dogecoin price to new highs at $0.076.
Dogecoin price is on the verge of a massive 40% breakout
On the 4-hour chart, DOGE has established a descending triangle pattern with a resistance trendline formed at $0.0544. A breakout above this point will quickly push Dogecoin price towards $0.076, a 40% move calculated using the height of the pattern as a reference guide.
DOGE/USD 4-hour chart
Additionally, on the 12-hour chart, the TD Sequential indicator has just created a red ‘8’ candlestick, usually followed by a buy signal. Climbing above the 26-EMA resistance level at $0.0574 would validate this call.
DOGE/USD 12-hour chart
However, the triangle pattern could also break bearishly if DOGE can’t hold the critical support level at $0.05. A breakdown below this point will drive Dogecoin price down to $0.03.