The recent news of June 28 wherein a YouTuber sent a physical replica of Dogecoin into space using weather balloons to celebrate the birthday of Elon Musk is garnering a huge surprise for crypto enthusiasts. While many expected Elon to send Dogecoin to mars or the moon, this feat was achieved by a YouTuber named Williamson Ried.
Dogecoin being a meme cryptocurrency holds no fundamental value as compared to BTC, ETC, and other cryptocurrencies. Learn more about the further price action and trend with our detailed Dogecoin technical analysis and a new trading indicator.
Dogecoin Technical Analysis
Dogecoin has been highly volatile in recent days and the current swing tried a good attempt at breaching the resistance of the 100 days moving average. With the support of 200 DMA, this asset has shown a tremendous increase in volumes to accommodate different trading strategies for a good profit.
With the limited downside, the upside limitations are restricted by only the 100 DMA. A close above the levels can push this asset toward the previous highs of $0.75. With a new indicator, it will become easier to trade in real-time.
The gains made yesterday were erased in a profit booking sentiment that took over the entire crypto market. Still, unlike other cryptocurrencies, Dogecoin is trying to make a new high each day, irrespective of whether it can hold the gains during the closing of the daily candle.
Bollinger bands are technical indicators that make it easier for an investor in any securities such as stocks or even cryptocurrencies, or commodities by providing a band with mean and standard deviations. Bollinger bands use mean deviation from the moving average with a standard deviation of probability theory. We can identify a good strategy for trading in volatile assets that can be plotted on a candle chart.
Currently, the price is trending within the band but towards the lower standard deviation line, which makes a good buying point. Profits from the current entry should be booked once the price reaches close to the upper deviation line. According to our Dogecoin price prediction, there is a decent scope of making 20 to 30%, but one must wait for the beginning of a new swing on daily charts and confirm the same using MACD.
Currently, Dogecoin has been taking support from the $0.241 levels while attempting to breach the 100 DMA at $0.2912. With consistent volumes throughout the month, Dogecoin shows a good potential to give a decent return in the short run.