Dogecoin, the community driven memecoin, is currently in its consolidation phase. Even though being in this phase, the coin managed to surge and reach the $0.45 mark today. According to the analysts, the memecoin will observe a few fluctuations and then could rally in the coming weeks.
At press time, the price of the memecoin token stands at $0.4081 with a dip of 3.6% in the last 24 hours. For the month of November, Dogecoin experienced a surge of 156.5%
Analyst Predicts Bullish Outlook for Dogecoin
According to a crypto analyst, currently with reference to the below chart, the memecoin is testing a critical resistance zone, with a potential target of $0.50 if it breaks upward.
#doge $doge #dogecoin is in a holding pattern building up to a break out towards 0.50 and beyond
Should see which way this breaks before 5th December
If it breaks down it should only hit the string at 0.38 and shoudl bounce. 4hr 105 EMA at that level already so could… pic.twitter.com/7DslVgCZdx
— ZG Charting (@ZackGold16) December 1, 2024
Since the memecoin is community driven, market sentiments remain optimistic and are expecting a rally by the end of the week. The current trend line and momentum suggests that the memecoin may gain strength and push through the resistance, fueled by broader market activity.
at $0.38 Critical for Downside Protection
From the above chart, the analyst is also trying to highlight the strong at around $0.38 level. The 4-hour 105 AMA aligns with this indicating a potential bounce if prices retrace.
Moreover, in a bearish situation, the trendline and Exponential Moving Average (EMA) provide a cushion for recovery, decreasing the likelihood of a sustained decline.
Breakout Likely By Next Week
As memecoins are known for their high volatility, the traders are closely monitoring Dogecoin’s price. The outcome of this consolidation phase will be a stepping stone for the next significant move. A break above the resistance level could give rise to a bullish momentum towards $0.50, while a breakdown may lead to retest of levels.
