However, the price development could experience some difficulties depending on the sentiments of dogecoin investors.
Pessimism prevails among dogecoin investors
Dogecoin’s value is in danger of continuing to fall on the daily chart. This is despite the fact that we observe that medium and long-term holdings are moving towards short-term holders (less than one month). A development that could threaten the long-term stability of this cryptocurrency.
During the month of June, the amount of DOGE tokens held by short-term investors increased by 2 billion. Price fluctuations could thus make a comeback.
Generally, short-term holders hold their assets for less than a month. Given these parameters, Dogecoin’s bearish trend could be a logical continuation.
Moreover, DOGE investor enthusiasm remains subdued. Weighted sentiment remains negative for more than three months. As a result, this basically translates into an atmosphere of general caution and skepticism among key stakeholders.This gloomy atmosphere drastically reduces the possibilities of using Dogecoin.Learn more: here are 10 meme coins to watch in 2024.
Without investor support or a desire to hold onto your assets for the long term, it’s hard to expect better at Doge’s price.
Price Prediction: A Pattern to Break
Dogecoin price is currently in a descending triangle at $0.124 at the time of analysis. This chart pattern, generally bullish, is formed by converging descending trend lines. This indicates a potential reversal or upside.
A significant rally targeting $0.300 will be needed for memecoin to overcome the resistance set at $0.128, which it has been struggling with for some time. However, this would mean a decisive breakthrough.
As already mentioned, investors do not seem to be showing the necessary optimism. So it is highly likely that we will fail to break the upper trendline or consolidate between $0.128 and $0.116.
Find out more : how to buy Dogecoin, flagship crypto memecoin?\
If the downtrend strengthens, the Dogecoin price could fall to the lows of $0.105. Such a fall would invalidate both the bullish outlook and the descending triangle pattern.
Moral of the story: Dogecoin is not out of the woods yet.
Disclaimer: In accordance with The Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased information, but market conditions may change without notice. Always do your own research and consult with an expert before making any financial decision.