1. What is DOGE/USDT?
DOGE is the Dogecoin cryptocurrency, created in 2013 as a parody based on a meme. Despite its lighthearted origin, it has gained great popularity and a very active community.
USDT (Tether) is a stablecoin pegged to the US dollar.
The DOGE/USDT pair represents the trading of Dogecoin exchanged for Tether. It is one of the most commonly used ways to trade DOGE on exchanges.
2. Common strategies
a) Moving Average Crossover
Use a short-term moving average and another long-term one.
Buy signal: when the short-term average crosses above the long-term average.
Sell signal: when it crosses below.
b) Ichimoku Cloud
An advanced indicator that shows support/resistance levels, momentum, and trend direction.
Buy when the price jumps above the "Cloud" in an uptrend, and sell if it falls below in a downtrend.
c) Contrarian Strategy using RSI
DOGE is very sensitive to hype and market sentiment.
Use RSI to detect overbought (sell) or oversold (buy) conditions and act against extreme sentiment.
d) Hype and viral news
DOGE can show rapid movements in response to mentions from influential figures (e.g., Elon Musk) or notable integrations.
Typical strategy: buy near a support (e.g., $0.17) when the RSI indicates oversold, and sell in hype or resistance zones (e.g., $0.30–$0.39).
e) Risk management
Use a conservative risk-reward ratio (1:2 or 1:3).
Do not risk more than 1–2% of capital per trade.
Employ stop-loss, target values, and trailing stop.
3. Main risks
1. Extreme volatility
It can rise 200% or fall 55% in a matter of days.
2. Dependence on hype and social media
Many rises (and falls) are driven by viral mentions, not by fundamentals.
3. Continuous inflation
It has an unlimited supply, with about 5 billion new coins per year, making it inflationary.
