Tracking the decline in the broader crypto market, Dogecoin (DOGE) crashes to new lowsand send it back to the main demand zone. Market analyst Eric Krypto shared his detailed analysis, highlighting the importance of this level and predicting the potential for sustaining above it. cause a big rebound And then the price of Dogecoin increased.
Dogecoin price plummets to major demand zone
January 31st, Eric Krypto share The technical price chart for X shows that Dogecoin has fallen significantly from its late year highs of around $0.26 and has recently fallen to around $0.11099. What comes with this move is unstable price movement And there were several spikes in volatility before sellers finally pushed the price down into clear support territory.
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Following this decline, Eric Crypto said that Dogecoin is currently Main demand zone Close to $0.11. He explained that prices briefly fell below recent lows to provide liquidity before forming a visible base in the region. On the chart, this appears as a small consolidation box just above $0.11 after the plunge.
Currently, the price trend is stable on a base basis, and Eric Krypto believes that: Dogecoin braces for potential price rise. He noted that if the memecoin can sustain above the demand zone, the next move could be a rescue rally towards $0.14. He added that if the bullish momentum continues, a higher target of around $0.18 or even $0.22 could be set.
Considering Dogecoin’s price has fallen to $0.103, the jump to $0.14 represents a 36% increase. Additionally, increases to $0.18 and $0.22 would reflect potential upside of approximately 75% and 114%, respectively.
Eric Krypto concluded his analysis by characterizing Dogecoin’s current setup as “risk defined” and “asymmetric upside.” The analyst also urged investors to be patient with Dogecoin’s movements. long-term downward trend And aim for recovery.
Analyst says Dogecoin looks weak but can still recover
In our latest analysis, cryptocurrency expert Bitguru said Dogecoin is currently trading within a long consolidation zone around $0.10 after suffering a sharp drop from $0.24 and a subsequent significant drop in liquidity. He acknowledged that Dogecoin’s price currently appears weak, indicating that: Selling pressure remains.
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Despite this downward trend, Bitguru noted that maintaining the current consolidated base could cause a rebound in Dogecoin. If dog-themed meme coins can maintain support, analysts say start recovery It is heading towards the $0.13 to $0.15 range.
Conversely, analysts warned that a break below this support level could negate Dogecoin’s potential rebound. If that happens, he said: Downside risk of DOGE This means that prices may slide towards lower levels again.
Featured image from Pngtree, chart from Tradingview.com
