Dogecoin Price Trend Analysis: Can Elon Musk's Support Resist the Bearish Forces?
Recently, the price trend of Dogecoin (DOGE) seems to be unsatisfactory. Despite strong support from Elon Musk, the bearish forces remain strong. On Monday, the trading price of Dogecoin was around $0.23, down 8.55% compared to last week. According to Coinglass data, the long-short ratio of DOGE has fallen below 1, indicating that more traders are bearish on Dogecoin, expecting its price to further pull back to the level of $0.20.
Last week, Dogecoin's price encountered a sharp decline near its 50% price retracement level, dropping from a high of $0.48 to $0.27. As of Monday, its price continues to fall, having dropped to around $0.23. If this downward trend continues, Dogecoin's price may further decline to the February 3 low of $0.20.
From a technical indicator perspective, Dogecoin's daily chart shows a Relative Strength Index (RSI) of 32, which is below the neutral level of 50 and close to the oversold level of 30, further indicating a strong bearish momentum. Additionally, Coinglass's DOGE long-short ratio is only 0.87 and continues to decline. This ratio being below 1 undoubtedly reflects the market's pessimistic sentiment, with more and more traders betting on the decline of Dogecoin's price.
Faced with such a severe market situation, can Dogecoin make a comeback with Elon Musk's support? Or will it continue to struggle and decline? Let's wait and see!
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