As a researcher with extensive experience in cryptocurrency markets, I’ve closely observed Dogecoin’s price trend and the recent sell-off that has affected most crypto assets. The downward pressure on Dogecoin is undeniable, with its price reaching its lowest swing since March 1st, 2024, at $0.1140. This represents a nearly 50% drop from its highest point this year.
The price of Dogecoin took a nosedive on Tuesday, joining the majority of cryptocurrencies in a sharp decline. Dogecoin reached a low of $0.1140 – its lowest level since March 1st, 2024. This represents a significant drop of nearly 50% from its peak price this year.
Crypto sell-off accelerates
Since March, Dogecoin has faced selling pressure as the attention of many meme traders shifted towards fresher tokens such as Pepe, Dogwifhat, and Brett. During this timeframe, the majority of conventional meme tokens including DOGE, Shiba Inu, and Baby Doge have lagged behind their newer counterparts in terms of performance.
Dogecoin’s value has declined in part due to Bitcoin‘s stagnant behavior. As the largest cryptocurrency on the market, Bitcoin has struggled to break through the $72,000 resistance level in its recent attempts to advance.
As a researcher studying the cryptocurrency market, I’ve observed that Bitcoin has faced challenges in gaining momentum following the SEC’s approval of spot Bitcoin ETFs and the recent halving event. In contrast, many alternative coins like Dogecoin tend to thrive when Bitcoin is performing strongly.
Additionally, there remains apprehension regarding the Federal Reserve’s stance, as they have indicated only one potential interest rate reduction. In contrast, their December gathering suggested at least four such cuts for the present year. Dogecoin and similar high-risk assets tend to flourish when the Federal Reserve exhibits a dovish attitude.
Dogecoin price forecast
DOGE daily chart
From my perspective as a crypto investor, I notice on the daily chart that DOGE reached a peak of $0.2290 back in March when Bitcoin hit an all-time high. However, the price has since lost steam and plummeted to its lowest point since March 1st.
As a crypto investor, I’ve noticed that Dogecoin has taken a downturn and dipped below the lower band of the Andrew’s Pitchfork indicator. More significantly, it has slipped beneath the crucial support level at $0.1208 which marked its lowest swing on May 1st.
The price has dipped beneath the 200-day moving average, creating an opportunity for the ominous “death cross” pattern to emerge in technical analysis, which is known for its high risk.
As a crypto investor, I’ve noticed that the Relative Strength Index (RSI) has been on a downward trend and has recently dropped to the oversold level of 30 for the first time in 2023. On the other hand, the Awesome Oscillator has been below the neutral level since June 8th.
Based on current market trends, it’s expected that the value of Dogecoin may continue decreasing, with sellers aiming for the significant support level at $0.10. Dropping below this threshold could lead to a potential slide towards its previous low of $0.0750, recorded in January.
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2024-06-18 19:35