Dogecoin (DOGE) has shown remarkable resilience in the face of a bearish market, with a recent increase of over 4% in value. Currently trading between $0.25275-$0.26084, the meme coin has caught the attention of analyst Ali Martinez, who believes that DOGE could surge to reach the $4 price level in the near future.
Analyzing the weekly DOGE chart, Martinez highlighted that the cryptocurrency is moving within a rising channel, indicating a positive long-term trend. The chart also revealed that DOGE found strong support at $0.19183, with resistance levels expected between $0.50-$0.74. Breaking above these resistance levels could pave the way for new all-time highs for Dogecoin.
The Fibonacci retracement levels further support the bullish momentum for DOGE, with the 0.786 Fibonacci level acting as a solid support zone. Martinez’s prediction aligns with the 1.272 Fibonacci level, suggesting a potential surge to $4.10 in extreme bullish scenarios.
On the technical side, the Relative Strength Index (RSI) on the daily chart indicates a downward trend for DOGE, but the gradient of the line hints at a possible rebound before the coin becomes oversold. The Moving Average Convergence Divergence (MACD) indicator remains negative, but with the MACD line inching closer to the signal line and the histogram’s intensity decreasing, there are signs of bullish buying pressure.
Key price levels to watch include support levels at $0.19-$0.25, with a potential rally towards $0.30-$0.35 if these levels hold. A breach below $0.19 could lead to further corrections, while a breakout above $0.30 may confirm positive momentum towards levels above $0.50 in the short to medium term.
In conclusion, DOGE’s price action and technical indicators suggest a potential bullish scenario, with the possibility of reaching new price milestones in the near future. Traders and investors are advised to monitor key support and resistance levels closely to make informed decisions.