Dogecoin (Doge) has become known for its unexpected price swing, and is often affected by themes and social media. Now, however, there are signs that a possible decrease may be on the horizon. This time, it’s not just speculation – the common Polainger indicates a real danger.
One of the tools that many traders use to analyze market trends is Bolleinger Bands, which is based on a 20 -day moving average and two external divisions. These domains follow price fluctuations and when the original price reaches the upper range, it often indicates conditions of his arm in the peak area, the bottom – excessive.
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At the same time, if the price decreases below the middle line represented by the moving average, it may indicate poor momentum.
Currently, the price of Dogecoin is a little lower than the line – about $ 0.266 – while the broker is $ 0.276. This indicates that Dogecoin is not in a strong rise. However, the most anxious is the bottom range, which is currently $ 0.219. If Dogecoin Bulls struggle to return the price above the critical line, there is a real risk that the price will be drifted towards this lower range.
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While Dog surprised the market several times before, the current data indicates a greater opportunity to decline instead of recovery. There seems to be a greater chance to decrease about $ 0.219 from the gathering to the upper range at $ 0.332.
So what next? Without a clear reflection, a 20 % possible decrease remains the main scenario. If the week is closed above the broker, it may indicate a strong rise and opens an opportunity for a 20 % increase in the coming days.
