fxs_header_sponsor_anchor

Dogecoin rally expected despite Russia/Ukraine concerns, DOGE targets return to $0.25

  • Dogecoin price action positioned perfectly for a sustained rally to $0.25.
  • Underperformance trend likely to end soon.
  • Short sellers are likely to get squeezed and fuel the upcoming rally.

Dogecoin price action has been a significant source of frustration for DOGE fans and investors. However, given the recent underperformance against its peers like Shiba Inu, bulls look for some reprieve from the current stagnation and downtrend - which has lasted for 281 days.

Dogecoin price is inside a key Gann time cycle, warning of probable upswing very soon

Dogecoin price was able to stave off another capitulation move on February 4. The February 4 swing low preceded the 27% rally DOGE experienced until February 7. The whipsaws and wild swings are par for the course for DOGE, which has seen four other whipsaws resulting in 25% to greater than 50% swings up and down since January 2022.

DOGE/USDT Daily Ichimoku Kinko Hyo Chart

The result of these various whipsaws is a bullish reversal pattern currently in development: an inverse head-and-shoulders pattern. This pattern, if triggered, would likely generate the momentum necessary to put Dogecoin price into an Ideal Bullish Ichimoku Breakout on its daily chart while also returning it to the critical $0.25 price level.

Dogecoin’s $0.005/3-box reversal Point and Figure chart compliments the reversal patterns developing on the candlestick chart. A hypothetical long opportunity now exists for Dogecoin price. The hypothetical setup is a buy-stop order at the three-box reversal of the current O-column ($0.165 at the time of publishing). The stop loss is a four-box stop and the profit target, based on the Vertical Profit Target method in Point and Figure analysis, is at $0.26.

DOGE/USDT $0.005/3-box Reversal Point and Figure Chart

If Dogecoin price moves lower and prints one or more Os in the current O column, the buy stop entry and four-box stop move in tandem with price. The profit target, however, remains the same. The hypothetical long entry is invalidated if the current O-column prints an O at $0.11. In that scenario, Dogecoin would likely enter a capitulation zone to test the $0.08 or $0.09 value areas.

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.