Dogecoin (DOGE) Development Picks Up Pace – Key Levels to Watch for Continued Momentum

Dogecoin (DOGE) has seen a recent surge in developer activity, which is typically viewed as a positive sign for a cryptocurrency project.

According to reports, the Dogecoin development team has been actively working on improvements to the network. This suggests that new features or upgrades may be forthcoming.

Source: Santiment – Start using it today

From a technical analysis perspective, this boost in development activity appears to be generating some positive momentum for Dogecoin. After breaking out above a Falling Wedge pattern, DOGE price reached a high of $0.085, representing a 30% gain.

However, the rally was short-lived. DOGE has since pulled back below its 200-day moving average at $0.08 and previous support at $0.07. This retracement gave up all of the prior gains from the Falling Wedge breakout. DOGE is now trading in the $0.06 range as of August 29, 2023.

The recent pullback does not necessarily negate the uptrend. DOGE price needs to regain the $0.07 level as well as the 200-day MA to confirm the continuation of the bullish trend. Alternatively, if the pullback extends to the $0.053 support level, it could offer an attractive swing entry opportunity.

Technical Indicators:

• The 20-day EMA is sloping down and the RSI is below 45, reflecting advantage to the bears in the short-term. Sellers will look to drive the price below $0.06.
• However, the MACD Histogram bars are rising even as the MACD Line remains below the Signal line. This divergence suggests momentum is bottoming and could swing back to the upside.

Key Levels to Watch:

• Support at $0.053 and $0.06
• Resistance at $0.07, $0.085 (recent highs)
• Further resistance at $0.10

The recent development activity for Dogecoin is encouraging. If the bullish momentum can regain its footing, DOGE could make another attempt at the $0.07 and $0.10 overhead resistance. The technicals suggest keeping a close watch on the $0.053 support for any reversal signals. Upside potential appears limited in the near-term but could materialize in a more sustained fashion if the fundamental catalysts remain in play.

Join us on Twitter and Facebook for the latest insights and discussions in the world of crypto.

Explore our news section and stay ahead of the curve with our expert price predictions.