The Dogecoin price has been relatively quiet of late and spent the last two months fluctuating in a horizontal trend channel. Even Bitcoin’s impressive run to a new record of $67,000 this morning has failed to inspire the dog-themed Coin. Dogecoin (DOGE) is trading at $0.251 (-0.40%), up 23% on October, and 6,120% in 2021. Despite the recent lethargy, Dogecoin commands a hefty $33.1 billion market cap and is the 9th most valuable cryptocurrency, behind Polkadot (DOT/USD).
Dogecoin was hugely popular at the start of the year and enjoyed a considerable cult following, including billionaires’ Elon Musk and Mark Cuban. However, an appearance by Musk on Saturday Night Live in May marked the top of not only DOGE but the first crypto bull run of 2021. The cryptocurrency market as a whole has recovered from the brutal collapse in May, and this morning, reached a record valuation of $2.7 trillion. However, the Dogecoin price is languishing around 66% below its peak.
The four-chart shows that Dogecoin has been trending higher following the dip below $0.200 last month. However, the price is running into resistance at $0.2730, leaving a potential double-top formation. Furthermore, a descending trendline from the August high is acting as resistance at $0.270. Subsequently, unless the Dogecoin price clears at $0.273, it’s likely to continue sideways.
Below the market, a rising trendline at $0.233 offers an interim support level. However, I consider the August low of $0.193 more significant. Considering DOGE’s inactivity and lack of development, I don’t expect a strong trend in either direction. On that basis, I maintain a neutral outlook in a comprehensive $0.193-$0.350 trading band.
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This post was last modified on Oct 21, 2021, 08:47 BST 08:47