Expert Says Dogecoin at a Make-or-Break Level, as It Could Surge to $0.57 or Slump to $0.06
Dogecoin is at a make-or-break level, according to an expert analyst who believes it could drop to multi-month lows or recover previous highs. The crypto market has resumed its bearish momentum, with Dogecoin being one of the assets affected. Between January and April 2024, the price of Dogecoin saw a significant drop from over $0.40 to around $0.16.Key Support and Resistance Levels for DogecoinRecently, the price has decreased by 3.6% over the past 24 hours. Despite this short-term fall, analyst Ali Martinez's recent chart proves that Dogecoin's overall price movement from 2018 to 2025 has generally followed an upward trajectory.According to Martinez, at present, Dogecoin is at a make-or-break level, a critical level that must hold for any potential uptrend to continue. If the price stays above this point, Martinez suggests Dogecoin could rally towards the resistance at $0.57, representing a 256.25% increase. https://twitter.com/ali_charts/status/1907631139168079972However, if the support at $0.16 fails to hold, a significant drop to $0.06 is possible, signaling a 62.5% decrease in value. Martinez is however not the only analyst watching Dogecoin price future moves.Bullish Divergence and Market SentimentNotably, another analyst, deeppatidar14, is observing a bullish divergence on Dogecoin's 3-month chart. This pattern indicates that while the price has been making higher lows, the RSI (Relative Strength Index), a momentum indicator, has been seeing lower lows.This discrepancy often signals a potential reversal or rally. The analyst advises traders to focus on the numbers and avoid being swayed by the news.Inverse Head and Shoulders Pattern IdentifiedMeanwhile, a separate analyst, Trader Tardigrade, has pointed out a short-term bullish pattern forming on Dogecoin's chart. Trader Tardigrade suggests that Dogecoin has formed an inverse head and shoulders pattern, typically indicative of a trend reversal. This pattern formed on the 4-hour chart, with the left shoulder forming when Dogecoin dropped to $0.1658 on March 29, followed by a dip to $0.1601 on March 31. The right shoulder then developed after a recent decline to $0.1677. The neckline of this pattern is positioned at $0.1760, and a breakout above this level could confirm a potential reversal to the upside.In addition to the technical analysis, significant growth in address activity has been noted. Over the past seven days, new addresses have increased by 102.40%, while active addresses have risen by 111.32%.
Text source: The Crypto Basic
