Recently, there's an interesting signal in the cryptocurrency market—famous chart analyst Guangdong Cat (cantonmeow) posted a weekly chart of Dogecoin on July 30, pointing out a key Ichimoku bullish signal, and mentioned that he had quietly 'bought a little more' DOGE, the action was quite decisive!
What signal does the Ichimoku indicate? Simply put, it's when the 'turning line (Tenkan) crosses above the baseline (Kijun)', which is a classic buy signal! 🎯
The snapshot shared by Guangdong Cat shows:
Dogecoin's weekly price is about $0.216, and it has dropped 10.23% in the last week.
Tenkan (blue line) is at 0.21517, Kijun is at 0.21142.
The current price has just found support above the Tenkan; technically, it indicates that a buying opportunity has arrived!
This 'Tenkan-Kijun crossover' is a highly regarded bullish indicator in technical analysis, especially in long-term charts like weekly ones, it carries more weight.
However, the story is not that simple...
From the chart, although the Tenkan-Kijun has issued a buy signal, the price is still below the future forecast cloud (Kumo), and the upper boundary of the cloud, Senkou Span B, is around $0.28, forming a clear resistance.
Simply put: Dogecoin has not completely broken through the long-term resistance level; this wave of bullish signal is still in its early stages, and whether it can stabilize will depend on future movements.
How does Guangdong Cat say?
On July 31, he made another comment, firmly stating that 'DOGE weekly still holds the Ichimoku's Tenkan and Kijun support; the technical aspect hasn't collapsed.'
This indicates that even if the price fluctuates, as long as the key support line remains intact, it means the bulls still have a chance to continue pushing, and the trend has not been broken.
What should we look at next?👀
In the coming week, everyone's attention will be focused on the closing prices of the turning line and baseline on the weekly chart. If the price can stay above these two lines, and still respect the Tenkan support during pullbacks, then this 'bullish signal' for Dogecoin is very likely to develop into a larger upward trend.
As of the time of writing, DOGE is priced around $0.22, and the short-term trend is quite promising!
To summarize:
Dogecoin weekly shows a rare Tenkan-Kijun bullish crossover.
The current price has bottomed out near the Tenkan line, showing a support signal.
The long-term cloud layer still exerts pressure, and we need to observe whether it breaks through in the future.
If you are optimistic about this wave of market, don't forget to closely monitor changes in the technical aspects~
The cryptocurrency market changes quickly, with opportunities and risks coexisting. Learn to enter and exit strategically, protect your principal to move forward steadily and reap wealth and growth.✍️
Remember to DYOR, manage risks well, and wish everyone smooth sailing in the cryptocurrency world!🌊
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