Dogecoin (DOGE) price is rising as it crosses the moving average lines.
Previously, the cryptocurrency asset was trapped between the moving average lines for two weeks. Today, DOGE reached a high of $0.083. The bullish momentum will likely continue to increase until it reaches the previous highs. On the March 14 uptrend, a retreating candlestick tested the 38.2% Fibonacci retracement level. The retracement predicts DOGE to rise to $0.10 or the 2.618 Fibonacci extension. Based on the price action, Dogecoin is already trading in an overbought area of the market. Further price movement is unlikely as the market approaches the overbought area. However, a market that is in a strong trend is overbought. The overbought area is currently on the retreat.
The Relative Strength Index for Dogecoin is 62 for period 14, which is in the uptrend area. Dogecoin has more room for growth. The value of the cryptocurrency is rising as long as the price bars are above the moving average lines. DOGE could fall if the market approaches the overbought zone. It is above the 80 level of the daily stochastic.
Key resistance levels - $0.12 and $0.14
Key support levels - $0.06 and $0.04
DOGE/USD is in an uptrend as it crossed the upward resistance levels. DOGE Price is at $0.08, which is the historical price level for February 2023. The current upswing exceeds the previous highs. The overbought situation is currently slowing down the upward movement.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing in funds.