Dogecoin Perks Its Ears Up! Does The Crypto Hear A Bullish Stampede On The Way? – Dogecoin – United States Dollar ($DOGE)
On Friday, Dogecoin (CRYPTO: DOGE) perked up and finally bust up bullishly through a descending triangle Benzinga called out on Tuesday. The crypto had been struggling to make the move but technical traders may have seen it coming when Dogecoin failed to drop below the key support level at the $0.196 mark.
The Dogecoin Chart: The descending triangle had been holding the stock down since Sept. 17 as Dogecoin’s trading range continued to tighten underneath it. The crypto was set to meet the apex of the triangle on Oct. 2, but bulls came in and pushed Dogecoin up a day early.
Dogecoin was trading 5% higher and if the crypto stays around its high-of-day price, it will print a big bullish Marubozu candlestick, which could indicate higher prices may come over the weekend.
The bullish move allowed Dogecoin to smash through resistance at the eight-day exponential moving average (EMA) as it continued to make its way toward the 21-day EMA. If Dogecoin can regain the 21-day EMA as support and hold above it, the eight-day EMA will eventually cross back above the 21-day, which would be bullish. Dogecoin is trading below the 50-day simple moving average, however, which indicates overall sentiment is bearish for now.
- Bulls want to see sustained big bullish volume push Dogecoin above the 21-day EMA and up toward a resistance level at the 23-cent level. If the crypto can regain the level as support, it has room to move up toward 26 cents.
- Bears want to see big bearish volume come in and drop Dogecoin back toward its key support level below. If Dogecoin were to lose the level as support, it could retrace toward the 16-cent mark.