Cryptocurrencies

Dogecoin Price Prediction Amid the Ongoing Risk Aversion

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Written By: Faith Maina
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    Summary:
  • Dogecoin price has been on a downtrend for more than one month now. Amid the ongoing risk aversion, it will likely remain under pressure.

Dogecoin price has extended its previous losses as fear continues to exert pressure on the crypto market. According to the crypto fear & greed index, fear levels have intensified in Thursday’s session. Compared to Wednesday’s reading of 34, the index is now at 32. Interestingly, it was at a greed level of 74 a month ago.

With the ongoing risk aversion, the previously steady support zone of $0.2500 is now at an evasive level. The altcoin will likely remain on that trajectory in the short term.    

Dogecoin price prediction

DOGE has been on a downtrend since late October when it hit a two-month high of 0.3400. Since then, it has dropped by 39.30%. At the time of writing, the altcoin was down by 1.67% at 0.2060.

On a four-hour chart, Dogecoin price is trading below the 25 and 50-day exponential moving averages. Besides, the formation of a descending channel points to further losses.

In the near term, I expect the cryptocurrency to continue finding resistance along the 50-day EMA at 0.2153. Above this level, the next target will be 0.2303 as the bears remain in control. For a trend reversal to occur, the bulls will need to push Dogecoin price past the psychological level of 0.2500. On the flip side, the psychological level of 0.2000 and November’s low of 0.1916 are the support levels to look out for.

Dogecoin price

This post was last modified on %s = human-readable time difference 08:08

Written By: Faith Maina

Faith Maina is a financial analyst and economist. She holds a Bachelor’s Degree in Economics and is underway in her Master’s degree course. She has an expansive understanding of global markets and their drivers. Her specialities are currencies, crypto, commodities, and equities. She lives in Nairobi, Kenya with her husband and son.

Published by
Written By: Faith Maina