Doge settles after mini crash.

Dogecoin has been trading in a falling channel since Feb. 8, making a consistent series of lower highs and lower lows as it slides lower in a downtrend. The falling channel pattern is considered to be bearish until a stock or crypto finds a bottom within the channel and big bullish volume comes in and breaks the stock or crypto up from the upper descending trendline. A break of a falling channel is considered a strong reversal signal.On Friday, Dogecoin was printing an inside bar pattern, with the day’s trading range completely inside Thursday’s range. The inside bar is considered neutral in this case and both bulls and bears can watch for a break from the pattern later on Thursday to gauge the future direction. Dogecoin’s relative strength index (RSI) is measuring in at about 34%, which indicates a bounce may be on the horizon. When a stock or crypto’s RSI nears or reaches the 30% level it becomes oversold, which can be a buy signal for technical traders. When Dogecoin’s RSI fell to the 32% level on Jan. 22, the crypto shot up about 22% over the four days that followed. Dogecoin is trading below the eight-day and 21-day exponential moving averages (EMAs), with the eight-day EMA trending below the 21-day, both of which are bearish indicators. The crypto is also trading below the 50-day simple moving average, which indicates longer-term sentiment is bearish.
Bulls want to see big bullish volume come in and break Dogecoin up from the falling channel pattern, which will cause the crypto to regain support at the EMAs. Dogecoin has resistance above at $$0.135 and $0.146.
Bears want to see big bearish volume break Dogecoin down from the inside bar pattern, which will cause the crypto to lose support at the 12-cent level. Below the area, there is further support at 10 cents.