Dogecoin price action sees rejection at the topside of a pennant, limiting further gains

• Dogecoin bulls noticed their income halted at $0.29.
• The DOGE value rejection on the pink descending development line retains Dogecoin value motion caught in a pennant. 
• With profit-taking taking place throughout the board in a number of cryptocurrencies, any additional upside in Dogecoin value motion appears muted.

Dogecoin (DOGE) continued its constructive development this week, following the bounce off the inexperienced ascending development line supporting the uptrend since February of this yr. On the upside, DOGE value motion was considerably capped by the pink descending development line and the month-to-month R1 resistance degree. Anticipate costs to get squeezed in in the direction of one another within the subsequent coming weeks for Dogecoin.

Dogecoin value motion will consolidate within the coming weeks, adopted by a bullish outbreak

Dogecoin value motion remains to be in an uptrend since February 2021, marked by the inexperienced ascending development line. That very same inexperienced development line received examined twice previous two weeks and nonetheless reveals resilience in opposition to any bears. Dogecoin bulls use every take a look at on the development line to rejoin or add positions within the DOGE value motion. 

The bounce off that inexperienced ascending development line at $0.19 acted as a launching level for a bullish candle that received topped at $0.29. Round that degree, the month-to-month R1 resistance degree is available in, and the pink descending development line from mid-August types the topside of a pennant. This manner, bulls in DOGE noticed their income restricted to solely 50%.

DOGE/USD weekly chart

Dogecoin value will see bulls attempting to kind a 3rd inexperienced candle above $0.26. If bulls reach that try, count on a preemptive breakout from the pennant and the pink descending development in the direction of $0.35. If the consolidation continues and costs are getting additional squeezed in the direction of one another with decrease highs and better lows, count on bulls to take the upper hand in Dogecoin value motion and face a lot fewer bears as a result of they’d be washed out throughout the consolidation section. Bulls then would face much less resistance in the direction of $0.35 and may even see $0.50 as value goal in DOGE.

For the more serious, a shift in market sentiment might spell an assault on the inexperienced ascending development line from DOGE bears. If bulls forfeit on the ascending development line, count on $0.19 and $0.16 to supply some good help. At $0.14, bulls might be stopping DOGE bears of their tracks as Dogecoin value motion at that degree is buying and selling at a really enticing low cost.