Dogecoin price could see a 10% to 15% upswing if this key level is conquered

Dogecoin price hints at an increased buyer activity suggesting the start of an uptrend.
The $0.053 level could make or break DOGE’s fate.
Transactional data shows that Dogecoin will face stiff resistance at $0.058 and $0.061.

Dogecoin price shows an 8% surge in the last three hours, indicating an increase in buying activity. This sudden uptick has caused DOGE to slice through the crucial level at $0.053. However, only a decisive close above this level will decide DOGE’s fate.

Dogecoin price hints at an uptick in bullish momentum

Dogecoin price shows an increase in buying activity, which has pushed the altcoin through the no-trade zone’s upper boundary, ranging from $0.046 to $0.052. This uptick in bullish momentum has also caused the Bollinger bands to expand, indicating an increase in volatility, potentially to the upside. Moreover, it has also resulted in a buy signal after more than 20 days.

Only a 4-hour candlestick close above the SuperTrend indicator’s sell-signal at $0.053 will confirm this uptrend. At the time of writing, Dogecoin price has already blasted through this supply barrier, but the trading session hasn’t ended yet.

Assuming an optimistic outlook, DOGE could surge anywhere between 10% to 15% towards two critical supply barriers present at $0.058 and $0.061, respectively.

DOGE/USDT 4-hour chart

Adding credence to this bullish outlook is IntotheBlock’s In/Out of the Money Around Price (IOMAP) model, which shows the presence of stable support at $0.050, where nearly 87,000 addresses purchased roughly 11.48 billion DOGE.

IOMAP cohorts reveal a stiff resistance level at $0.058, where 31,800 addresses purchased 5 billion DOGE. This supply barrier is the first target and is 9% away from the critical level at $0.053. If DOGE manages to slice through this level, it could surge another 5% to hit the second target at $0.061.

Dogecoin IOMAP chart

On the flip side, a failure to close above $0.058 could result in a downtrend. If this pullback slices through the critical level at $0.053, it will invalidate the bullish thesis. In this scenario, DOGE could drop to $0.046, which is the lower end of the no-trade.

Share: Cryptos feed

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.