Dogecoin Is Overbought But Is Aiming For The High At $0.60

Dogecoin (DOGE) has made significant progress, breaking through the $0.18 and $0.20 resistance levels twice. The cryptocurrency rose to a high of $0.478 before falling back.

Dogecoin price long term forecast: bullish 

According to Coinidol.com, since November 12, the upward movement has come to a halt at a high of $0.45. The altcoin traded above the 21-day SMA support and the low of $0.35 last week but below resistance at $0.45. DOGE will rise but reverse at the 1.272 Fibonacci extension or $0.50, according to price indicator research.

On the upside, if the current barrier is broken, DOGE has the potential to rise further to its previous high of $0.60. The altcoin reached its previous high of $0.595 on May 10, 2021. Today, DOGE's value stands at $0.428 as it strives to break through the recent peak. 

Technical indicators

Key Resistance Levels $0.45 and $0.50

Key Support Levels – $0.30 and $0.25

Dogecoin indicator reading

DOGE has paused on its recent high. There are two candlestick wicks pointing above the $0.45 level, indicating significant selling pressure at the recent high. The moving average lines are sloping upwards, suggesting that the current uptrend is intact. On the 4-hour chart, the moving average lines are horizontal, indicating a sideways trend.

What is the next direction for Dogecoin?

On the 4-hour chart, DOGE is still trading below the $0.45 resistance. The bullish momentum has been rejected thrice as buyers try to keep the price above the $0.45 high. Price action has been limited by the small, indecisive candlestick bodies. Further upside is unlikely as the market has reached the overbought territory.

Disclaimer. This analysis and forecast are the personal opinions of the author. They are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.