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Charted: Dogecoin (DOGE) Beats Bitcoin, Why It Could Test $0.5

Dogecoin extended its rally above the $0.4000 resistance against the US Dollar. DOGE tested the $0.4500 zone and it is likely to continue higher in the near term.

  • DOGE gained bullish momentum above the $0.3500 and $0.4000 resistance levels against the US dollar.
  • The price is trading nicely above the $0.3000 support and the 100 simple moving average (4-hours).
  • There is a crucial bullish trend line forming with support near $0.3600 on the 4-hours chart of the DOGE/USD pair (data source from Bitfinex).
  • The pair is correcting gains, but dips are likely to remain limited below $0.3500.

Dogecoin Rallies To $0.45

After forming a base above the $0.2800 and $0.3000 levels, dogecoin started a fresh rally. It broke many important hurdles near the $0.3500 and $0.3550 levels, outperforming bitcoin.

DOGE rallied above the $0.4000 barrier and settled above the 100 simple moving average (4-hours). It tested the $0.4500 resistance zone and a high is formed near $0.4512. The price is now correcting gains and trading below the $0.4400 level.

It spiked below the $0.4200 support zone. There was a break below the 23.6% Fib retracement level of the recent rally from the $0.2971 swing low to $0.4512 high.

Dogecoin (DOGE)

Source: DOGEUSD on TradingView.com

On the downside, an initial support is near the $0.4000 level. The next major support is seen near the $0.3750 level. It is close to the 50% Fib retracement level of the recent rally from the $0.2971 swing low to $0.4512 high.

The main support is forming near the $0.3600 and $0.3500 levels. There is also a crucial bullish trend line forming with support near $0.3600 on the 4-hours chart of the DOGE/USD pair. Any more losses could open the doors for a move towards the $0.3000 level.

More Upsides in DOGE

If DOGE price remains stable above the $0.4000 support or the trend line, there are chances of more upsides. An initial resistance on the upside is near the $0.4350 level.

The first major resistance is near the $0.4500 level. Any more gains and a clear close above $0.4500 could set the pace for a rise towards the $0.5000 resistance zone.

Technical Indicators

4-Hours MACD – The MACD for DOGE/USD is now gaining momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.

Major Support Levels – $0.4000, $0.3750 and $0.3600.

Major Resistance Levels – $0.4350, $0.4500 and $0.5000.

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Charted: Dogecoin (DOGE) Eyes Fresh Surge Towards $0.40

Dogecoin started a fresh increase from the $0.2500 support against the US Dollar. DOGE is rising and the bulls seem to be eyeing an upside break above the $0.3500 resistance

  • DOGE is holding the ground above the $0.3000 and $0.2800 levels against the US dollar.
  • The price is trading nicely above the $0.3000 support and the 100 simple moving average (4-hours).
  • There is a major bullish trend line forming with support near $0.2950 on the 4-hours chart of the DOGE/USD pair (data source from Bitfinex).
  • The pair could start a strong rally once it clears the $0.3350 and $0.3500 resistance levels.

Dogecoin Eyes Fresh Surge

After forming a base above the $0.2000 and $0.2200 levels, dogecoin started a steady increase, similar to ethereum and unlike bitcoin. It broke many important hurdles near the $0.3000 level.

DOGE even settled above the $0.3000 support and the 100 simple moving average (4-hours). It spiked towards the $0.3500 level, where the bears took a stand. A high was formed near $0.3455 before the price started a downside correction.

There was a break below the $0.3200 support zone. The price declined below the 23.6% Fib retracement level of the recent surge from the $0.2562 swing low to $0.3455 high.

Dogecoin (DOGE)

Source: DOGEUSD on TradingView.com

However, the bulls remained active near the $0.3000 support zone. It also found support near the 50% Fib retracement level of the recent surge from the $0.2562 swing low to $0.3455 high. More importantly, there is a major bullish trend line forming with support near $0.2950 on the 4-hours chart of the DOGE/USD pair.

The price is rising and an immediate resistance is near the $0.3320 level. The main resistance is still near the $0.3500 level. A successful break above the $0.3500 level could lead the price towards the $0.4000 level in the near term.

Dips Supported in DOGE

If DOGE price fails to continue higher above $0.3320 or $0.3500, there could be a fresh decline. The first key support is near the $0.3200 level.

The next major support is near the $0.3000 level and the bullish trend line. Any more losses may perhaps open the doors for a move towards the $0.2500 support zone.

Technical Indicators

4-Hours MACD – The MACD for DOGE/USD is now gaining momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.

Major Support Levels – $0.3200, $0.3000 and $0.2500.

Major Resistance Levels – $0.3320, $0.3500 and $0.4000.

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The Rise Of Dogecoin: The Good, Bad, And The Ugly

Dogecoin has made crypto investors more money than the likes of Bitcoin and Ethereum since the start of the year. But not everything related to this incredible rise to super stardom has been all glamor and glitz.

While the “joke” coin has proven itself anything but, it still has created a not-so-funny situation for several late-to-the-game mainstream investors. Anyone expecting a dollar per DOGE and bought too close to the top, could now be a sad puppy who’ve lost a lot more than their favorite bone.

Who’s A Good Boy? DOGE Fetches Mainstream Investors Massive Wealth

While in line waiting for coffee, two young men no older than their mid-twenties were heard having a conversation loudly. Before ordering their iced lattes, one tells the other about his $250 investment in Dogecoin turned into a cool few grand in his pocket.

These stories aren’t uncommon for mainstream investors who generally have no idea what they’re doing, but heard about the meme coin with an adorable internet pup though TikTok. They clicked buy on Robinhood or other apps, and net themselves a small fortune – yet not enough to catch up to the coin’s frontman Elon Musk.

Related Reading | Is Amazon About to Accept Dogecoin? The Payment Use Case Explored

Anyone who put money into Dogecoin in early 2021 has far more money than they started with. Unless they were among the latest to join the feeding frenzy among the pack of hardcore fans, then there’s always another side to every coin.

dogecoin good bad ugly

The good, bad, and ugly of the Dogecoin pump all in one chart | Source: DOGEUSD on TradingView.com

Bad Doggy: Dogecoin Latecomers Get Bit, Rally Put To Sleep

The chart above shows the technical rollercoaster that has been the rapid rise of Dogecoin. DOGE has been on a tear, soaring almost 10,000% this year alone.

Anyone who got in before April still has plenty of bones buried out back for a rainy day, however, those late to the feast might want to roll over and play dead.

Related Reading | The Two Signals That Say Dogecoin Holders Are In For “Much Ow”

The initial correction saw an immediately 70% collapse. As of right now, there’s a huge recovery, and Dogecoin is still down more than 40% from all-time high.

But when you’re comparing a measly 40-70% correction against an almost 10,000% rally, this dog could have a lot more to shed.

When assets lose their parabolic advance, they tend to correct by as much as 80% or more. In altcoins like Dogecoin, historically things get far worse, often shaving a full 99% of all-time highs before another recovery attempt is made years down the line.

dogecoin reddit

Those sucked in that don't understand markets can lose a ton of money | Source: Reddit

That could end up leaving investors like the one in the dog house for some time. Take this poor bloke for example, who now has to tell his wife that the allure of DOGE to the moon and $1 Dogecoin was well worth the risk of their life savings.

The moral of this story is that every dog has its day, and Dogecoin’s could now be in the past. If that’s the case, any further gains will be kept on a leash.

Featured image from Pixabay, Charts from TradingView.com
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SafeMoon Crashes Back To Reality After Cosmic Hype Storm

Over the last weekend, SafeMoon grabbed the attention of crypto investors and enthusiasts after it gained over 99%. On April 20, the token quickly rose to its highest level settling at an exchange price of $0.000013, according to data from CoinMarketCap.

The DeFi token was founded by John Mating with the aim to circumvent bank lending and establish a peer-to-peer network. Since its launch, the token has been the talk of the crypto community as it rewards investors who buy and hold it.

It’s a cryptocurrency on the Binance Smart Chain that started out at a low market cap of around $50,000. The price and market capitalization of SafeMoon went parabolic after growing popularity on TikTok.

In merely three weeks, the coin grew 2,200%. Before it didn’t.

A Seismic Crash

The parabolic rally quickly came to a drastic end on Thursday morning when the digital token lost a shocking amount of value. The token lost about two-thirds of its market value in just an hour, dropping from a whopping $0.000015 to $0.000005.

Related Reading | The Two Signals That Say Dogecoin Holders Are In For “Much Ow”

Pseudonymous crypto analyst, The Cryptonomist, noted the fall on Twitter:

The team behind SafeMoon appeared to acknowledge the massive plunge. The protocol’s official Twitter account wrote: “Who said there wouldn’t be turbulence,” adding that investors should continue holding. Many investors seemed to be positive in the comments, sending a propelling rocket to infer sentiment to continue to hold.

The SafeMoon price has since recovered slightly to trade at $0.00000504 per data from CoinMarketCap.

safemoon

This definitely doesn't look safe for liftoff | Source: SAFEMOONBNB on TradingView.com

Doge Rival Or UnSafeMoon?

Traders have emphasized the massive volatility of SafeMoon despite relatively higher liquidity compared to other tokens that are not listed on major exchanges. Like DOGE, the newly launched token, which boasts a fully diluted market cap of $4.3 billion, hopes to drive its value “to the moon.”

Sweet to the ears, the SafeMoon team announced earlier that Asian exchanges were asking to list the protocol on their platforms. The team said:

“SAFEMOON is currently inundated with exchange offers, a large Asian exchange is imminently being announced… this will allow Asian communities to acquire Safemoon, the exchange has $857 MILLION 24 hour trading volume and is the 36th LARGEST in the world.”

The emphasis on SafeMoon not being able to sustain a bull rally has been echoed by many analysts.

Related Reading | MoonSafe Code Audit Shows Suspicious Anomalies, Scam Confirmed?

Luke Martin, a well known cryptocurrency trader, also described the price trend of the token as “unSAFEMOON” after it dropped 65% in a short period on April 22.

 

In fact many financial analysts have cautioned against buying the coin. Saying that the unsustainability of the bull rally will cause the token to fall massively on exchanges.

Laith Khalaf, a financial analyst at investment firm AJ Bell, cautioned crypto users looking to buy the newly launched token that it could be a risky bet. He noted that the push to buy is coming from speculative traders who are hoping to cash in on price surges rather than using the coin as a means of exchange.

For now, it’s unclear whether SafeMoon is really safe or it’s a pyramid scheme masking as a token. However, like all digital assets, inherent risks abound.

Featured image from Pixabay, Charts from TradingView.com
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The Two Signals That Say Dogecoin Holders Are In For “Much Ow”

Dogecoin is the hottest crypto of 2021, taking a major bite out of Bitcoin and Ethereum’s gains this year.  These astronomical numbers the altcoin has done this year has sucked in more and more investors. However, anyone who didn’t have their DOGE bags packed previously could be in for some pain instead of “much wow.”

Here’s a closer look at the two sell signals that started showing their teeth as of today.

Every Dog Has Its Day, And It’s Been The Year Of Dogecoin

According to Oxford Languages, the phrase “every dog has its day” refers to the idea that “everyone will have good luck or success at some point in their lives.”

For Dogecoin, the last few days have been the “day” for crypto investors everywhere. Since January 1 of this year, the meme altcoin is up more than 9000% ROI. Not bad for a coin that was created as a “joke.”

Related Reading | Dogecoin Rallies After Elon Musk Commits “Literal Moon” to DOGE Bulls

These returns, however, are nothing to laugh about and some of the best the industry has to offer. Dogecoin has even made kibble out of Bitcoin and Ethereum – the two top cryptocurrencies by market cap.

The Shibu Inu adorned altcoin is beloved across the mainstream, promoted by the likes of Elon Musk, Snoop Dog, and more. The performance has been ‘best in show’ worthy all along, however, two TD 9 sell signals might be putting this rally to sleep for good.

A Duo Of Sell Signals Against The Dollar And Bitcoin Pack A Mean Bite

Dogs are known to get a little over excited, and eat a little too much or play a little too hard. Dogecoin has rallied so hard, it might be time to play dead.

But first, this old dog could roll over, according to the TD Sequential indicator.

Dogecoin USD DOGE dollar

An imperfect TD 9 setup has triggered after a sizable rally | Source: DOGEUSD on TradingView.com

Trading against the dollar, a TD 9 sell setup has appeared after an astronomical gain in recent days. The signal could wipe out as much as 80% from the coin’s price tag.

Related Reading | The Bearish Bitcoin Chart Bulls Definitely Don’t Want To See

Against Bitcoin, the signal is also wagging its tail. The TD 9 sell setup on the BTC pair is even stronger of a setup, having been perfected with a higher high on the day.

Dogecoin DOGEBTC bitcoin

The signal has been perfected on the Bitcoin trading pair | Source: DOGEBTC on TradingView.com

Because the USD pair isn’t perfect, Dogecoin could still play fetch the returns for a little while longer, keeping owners happy as can be.

This signal might suggest, however, that the adorable little pup could soon turn into a bear.

Featured image from Deposit Photos, Charts from TradingView.com
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How r/WallStreetBets Triggered DOGE Rally – Reasons for Bitcoin Sell-off

The crypto market seems to be astonished by yesterday’s season. Dogecoin (DOGE) threw every fundamental out of the window and smashed its way to the 5th position in the crypto top 10 by market cap. DOGE is trading at $0,27 with 20.6% losses in the daily chart.

Bitcoin BTC BTCUSD Dogecoin DOGE
DOGE with heavy losses in the 24-hour chart. Source: DOGEUSDT Tradingview

DOGE reached an all-time high of $0,50 after a 500% pump. Chief Strategy Officer at CoinShares, Meltem Demiros, linked Dogecoin surge to the controversial subreddit r/WallStreetBets.

This group decided to lift its ban on crypto discussions. These were still limited to only Bitcoin, Ethereum, and DOGE.

However, the group decides to reinstate their ban in less than a day due to an article published by Bloomberg, as announced on their subreddit. With the title “WallStreetBets Bows to Crypto”, the article and moderator’s decision caused discomfort in that community.

As a sort of “revenge pump”, WallStreetBets might have caused DOGE’s rally. As evidence, Demiros pointed at the cryptocurrency’s traded volume. At its peaked DOGE, daily trading volume stood at $70.772.770.653, as shown by CoinGecko, with a $48B market cap.

In comparison, State Street Global Advisors’ SPY ETF, one of the “most widely held and traded”, registered around $25B in this metric during the April 17th session, according to Demiros. Also pointing at Dogecoin’s repository in GitHub, with many contributions over the past year, CoinShares CSO said:

the people have spoken, and the people want DOGE. The power of memes is moving markets. You absolutely love to see it. It’s gonna break people’s brains, and we’re just getting started. To all the @TikTokInvestors who are now $DOGE millionaires, cheers.

Coinbase Effect and Bitcoin’s price

After a bullish momentum leading up to Coinbase’s debut on the stock market, Bitcoin’s price seems to be trending downwards. At the time of writing, BTC is trading at $60,174 with 1.9% losses in the 24-hour chart and 3.6% over the past week.

Bitcoin BTC BTCUSD Dogecoin DOGE
BTC with moderate losses in the 24-hour chart. Source: BTCUSD Tradingview

During this period, many investors were positive Coinbase’s direct offering was going to support a pump across the crypto market. The opposite happened. As Demiros stated, this is due to the high level of leveraged positions in the derivatives market.

When Bitcoin was unable to pump due to Coinbase debut, leverage traders “dip” and closed their positions. Demiros said the following on this crypto market dynamic:

One – bitcoin markets are very much driven by derivatives. funding rates, implied vol, and open interest are important to monitor. spot follows futures -> tail wags dog. Two – there isn’t enough leverage, and cost of capital limits capacity!

Data from Glassnode still points to a bullish outlook for BTC. The metric Realized Cap HOLD Waves indicates the first peak in the number of short-term holders moved to the market by retail mania.

In previous bull runs, there have been at least 3 peaks for the same metric. This could indicate that the rally is still early and BTC’s price could rise a lot more if it follows a previous pattern, as shown below.