- Dogecoin price is consolidating within a crucial support area, ranging from $ 0.21 to $ 0.23.
- Bouncing the $ 0.21 barrier could propel DOGE to a 27% profit
- If the demand floor of $ 0.19 breaks, this will invalidate the bullish thesis.
Dogecoin price gave a second uptrend attempt on September 29, as it formed a local bottom. As of that point, DOGE has traversed a crucial support area, but is struggling to get through.
Dogecoin price expects a directional bias
The price of Dogecoin rose 16% between September 21 and September 22, but faced a lock in the demand barrier, which ranged between $ 0.21 and $ 0.23. After a failed attempt, DOGE retested the low range at $ 0.19 and initiated the second attempt. Despite the 15% rise, the dog-themed cryptocurrency is facing a slew of sellers just below $ 0.23. In addition, the dynamic reversal indicator (MRI) issued a red sell signal “one” at 12:00 UTC on the six-hour chart. This technical training provides for a correction from one to four candlesticks.
Assuming the big crypto continues and rises to $ 50,000 altcoins, including the price of Dogecoin, it will rebound. In such case, if DOGE breaks above $ 0.23, it is likely to retest the 50% Fibonacci retracement level at $ 0.27.
This rise would be a 27% rise from the current position.
DOGE / USDT 6-hour chart
On the other hand, if the Dogecoin price does not tilt the $ 0.23 barrier towards the support floor, it will indicate low buying pressure. In such a case, DOGE could push lower and break the $ 0.21 demand barrier.
An increase in selling pressure could push DOGE to $ 0.19 and even break it. Such a move would invalidate the bullish thesis and potentially trigger a slide to $ 0.18 or $ 0.16.