Dogecoin bears aim to push prices beneath $0.07 amidst buyer weakness
Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different varieties of recommendation and is solely the author’s opinion.
- The every day market construction was strongly bearish.
- Dogecoin was prone to retest the March lows as help in Might.
Bitcoin [BTC] confronted rejection at $30k nearly a month in the past, and this dashed the hopes of crypto bulls awaiting one other alt season. Dogecoin [DOGE] plunged beneath a short-term vary. Its every day timeframe market construction was bearish as effectively.
Life like or not, right here’s DOGE’s market cap in BTC phrases
Dogecoin additionally suffered rejection from the $0.1 mark within the aftermath of the early April pump. Whereas its protection of the $0.8 help was encouraging 4 weeks in the past, the capitulation of the bulls not too long ago prompt that extra losses are prone to observe.
Earnest bears impel additional losses on Dogecoin in Might
Supply: DOGE/USDT on TradingView
The every day timeframe charts confirmed a robust downtrend in progress for Dogecoin. The RSI was at 34 and has retested the impartial 50 mark as resistance prior to now two weeks. This was an indication of serious southward momentum.
The OBV was additionally in a downtrend as sellers dominated the markets. Given the downtrend for DOGE in April and the fears round Bitcoin’s trajectory, it was seemingly that DOGE bulls most well-liked to straddle the fence.
The $0.0729 and $0.08 ranges had been necessary help in March and early April however they had been breached over the previous couple of weeks. The $0.07 and $0.066 ranges are the subsequent helps to look at.
A constructive response from Dogecoin might be depending on Bitcoin bulls forcing a comeback.
Metrics confirmed Dogecoin was undervalued however shopping for might be a dangerous concept
Supply: Santiment
The 90-day MVRV slid sharply into adverse territory in mid-April. This confirmed intense promoting strain and profit-taking but in addition prompt that the meme coin might be undervalued.
How a lot are 1, 10, or 100 DOGE value at this time?
In Might, DOGE posted additional losses. This highlighted the dearth of conviction from patrons and strengthened the bearish bias seen on the value charts.
The energetic addresses noticed a surge towards the top of April, however these good points started to retrace over the previous week. In the meantime, the dormant circulation noticed an enormous spike, which was an indication of hefty promoting strain on 9 Might.
