DOGE is now in the structural position to support the 40–50% squeeze to the upside provided Bitcoin does not break down. This is an update to my last idea, so if you have not seen it please refer back for context:
Since that post, DOGE has successfully broken above the trendline and price has now come back down to test old resistance as new support ("Retest").
Given this retest holds, the upper targets outlined in my last idea are likely to be achieved.
However, if DOGE breaks and closes below the lower trendline that is a clear invalidation of this idea.
The same applies to the RSI. We have seen a series of higher lows on the daily RSI (green arrows) supporting this uptrend. The RSI can continue pushing toward overbought conditions, which would give this move the momentum needed to squeeze that 40–50%. However, if the RSI breaks below the trendline and creates a lower low, this idea is invalidated.
One other thing worth noting is the 3D chart. Price printed a 3D gravestone doji which is one of the most bearish reversal candles that can form. There are still 2 more days until this current 3D candle closes, but if price remains below $0.095 that would be a bearish confirmation of the gravestone doji calling the local high. If bulls can flip above and maintain key closes above $0.095 they could have the momentum needed to negate it. This is not something that should be overlooked:
Since that post, DOGE has successfully broken above the trendline and price has now come back down to test old resistance as new support ("Retest").
Given this retest holds, the upper targets outlined in my last idea are likely to be achieved.
However, if DOGE breaks and closes below the lower trendline that is a clear invalidation of this idea.
The same applies to the RSI. We have seen a series of higher lows on the daily RSI (green arrows) supporting this uptrend. The RSI can continue pushing toward overbought conditions, which would give this move the momentum needed to squeeze that 40–50%. However, if the RSI breaks below the trendline and creates a lower low, this idea is invalidated.
One other thing worth noting is the 3D chart. Price printed a 3D gravestone doji which is one of the most bearish reversal candles that can form. There are still 2 more days until this current 3D candle closes, but if price remains below $0.095 that would be a bearish confirmation of the gravestone doji calling the local high. If bulls can flip above and maintain key closes above $0.095 they could have the momentum needed to negate it. This is not something that should be overlooked:
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.