DOGEUSDT is testing a significant key level around the $0.069 mark. This level is noteworthy because it marks the area where the price recently experienced a breakout from the dynamic daily resistance.
The breakout from the dynamic daily resistance indicates a potential shift in market sentiment, with buyers gaining strength and pushing the price beyond previous barriers. This breakout suggests that there is increased buying pressure and a possibility of further upward movement.
Furthermore, the market is forming a pattern known as a "double bottom." This pattern is characterized by two consecutive lows that are roughly equal and separated by a peak in between. The double bottom pattern is often seen as a bullish reversal pattern, indicating that the downtrend may be coming to an end, and a new uptrend could be forming.
Based on Plancton's Rules, if the price of DOGEUSDT breaks out of the double bottom formation and manages to retest the previously broken resistance level as new support, it could present a favorable opportunity for new long positions. This scenario suggests that the buyers have gained control and are likely to continue driving the price higher.
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Follow the Shrimp 🦐
Keep in mind.
- 🟣 Purple structure -> Monthly structure.
- 🔴 Red structure -> Weekly structure.
- 🔵 Blue structure -> Daily structure.
- 🟡 Yellow structure -> 4h structure.
- ⚫️ Black structure -> <= 1h structure.