- Dogecoin price has retested the macro-support at $0.065 for the third time in a year and the sixth time since November.
- DOGE was repelled a conservative 30% from this supplier congestion zone upon every retest.
- This optimistic outlook will be invalidated upon a decisive breakdown below $0.057.
Dogecoin (DOGE) price has been trading within a fixed range over the last six months, taking seasonal leaps as volatility increased. With this accumulation pattern, the king of meme coins could be en route to complete the next bounce cycle.
Also Read: Dogecoin price action hints DOGE can reverse its bearish trend
Dogecoin price could sustain the cycle
Dogecoin (DOGE) price has been trading within a steady market range between $0.107 and $0.057, with DOGE oscillating to and from either supplier congestion zones. If history is a reliable judge of character, the king of meme cons could be poised for a rally north, forecasted at around 30% on the lower side.
The bullish outlook comes as the $0.065 macro-support level has come into play for the third time in 2023 and the sixth in the last eight months. Notice that since November, every time Dogecoin price has approached this buyer congestion zone, DOGE was repelled at least 30% north, hence the forecasted climb.
If the thesis plays out, Dogecoin price could breach resistance levels presented by the 50-, 100- and 200-day Simple Moving Averages (SMA) at $0,074, $0.076, and $0.080, respectively. Further north, the giant meme coin could tag the 0.083 roadblock, levels last tested around April.
In a highly bullish case, the Dogecoin price could soar higher to tag the $0.088 resistance level. Such a move would constitute a 30% climb.
The current increasing momentum shown by the Relative Strength Index (RSI) supports the thesis. This is seen on the RSI, which had just rejected the downside to indicate more bulls or buyers taking the stage. The RSI position within the 30-range also added credence to this speculation, as it showed DOGE was going to be overbought soon. Massive longs often counter such a stance. The ensuing demand pressure could fuel the uptrend to the forecasted target.
DOGE/USDT 1-Day Chart
On the flip side, the current intense atmosphere in the broader crypto market could delay the rally, giving leeway for bears to send Dogecoin price below the immediate support at $0.065. While this breakdown would threaten the bullish outlook, it would only be invalidated once DOGE makes a decisive close below the lower boundary of the market range at $0.057.
Also Read: Dogecoin price manipulation makes Elon Musk the newest subject of an insider trading lawsuit
