Dogecoin ($DOGE ) Is Stuck
Dogecoin getting outWith the asset trading sideways and displaying indications of stagnation as volatility fades from the chart, Dogecoin is presently trapped in a frustrating limbo. Following its recent surge above significant resistance levels earlier this month, DOGE has been unable to build on the momentum and has entered a low-energy correction phase that is beginning to negatively impact market sentiment.
The price is circling around $0.22, but what is more worrisome than the price is the lack of movement. There appears to be indecision among traders as the candlestick structure is forming a descending triangle, or wedge. DOGE is still chained in place, but volume has significantly decreased, which usually signals a big move. A short-term neutral-to-bearish stance is suggested by the 26 EMA’s current technical intersection with midterm indicators.
As support, DOGE is currently trading above the 50 EMA and the 100 EMA. However, the market seems to be in waiting mode in the absence of a clear catalyst. Although it is still elevated, the RSI is moving below the overbought zone, suggesting that there is still some latent bullish sentiment that is not strong enough to move the needle at this time.
DOGE is essentially in a holding pattern until it breaks above $0.24 or below $0.21. Traders should monitor volume and EMA compression because Dogecoin is expected to explode once this slumber is over. The sole question is: which course will it take?
