Dogecoin Price Approaches Key Resistance, What Next?

Several technical indicators are pointing toward a possible upward movement for Dogecoin. TradingShot, a crypto analyst, shared that Dogecoin has broken above a lower highs trendline that had been in place since January.

According to his analysis, the next target could be $0.80 if the price follows past bullish cycles.

The Moving Average Convergence Divergence (MACD) indicator also supports the bullish outlook.

According to Trader Tardigrade, Dogecoins MACD is emerging from a triangle consolidation.

This setup has historically led to price surges, suggesting that the cryptocurrency may be on the verge of a strong move.

The 50-day EMA is currently located at around $0.21 and can be considered as a resistance level.

In such a case, if the price goes above this point, it will be interpreted as a bullish signal.

On the other hand, failing to break the resistance again could mean that the price moves back down to $0.177, which serves as the new support level.

Another bullish pattern that has been noticed is the formation of a cup and handle pattern.

Many analysts have suggested that if the DOGE price manages to go above the $0.185 mark, it may lead to a much bigger movement.

There are even speculations that the token may approach a $2 price if the sentiments persist moving forward.

Whale Accumulation and Market Sentiment

Apparently, whales are adjusting their Dogecoin position and have been accumulating the cryptocurrency.

According to Ali Martinez, increased buying pressure led to the accumulation of over 200 million DOGE over the past two weeks.

This means that bigger investors, such as institutional and high net worth investors, may likely be positioning for a higher price.

Crypto analyst Master Kenobi has forecasted that Dogecoin might hit $1.1 by June if the current upward trend is sustained.

Nevertheless, other factors such as the general market, including the performance of Bitcoin price, will also affect the value of Dogecoin.

If the general market for crypto remains bullish, Dogecoin will likely see increased demand, especially ahead of decision of DOGE ETF approval by the US SEC.