Dogecoin consolidation around 0.30000
The price of Dogecoin is falling slightly, which indicates a lack of bullish momentum. His recent rejection of a key support barrier could re-launch an upward trend. Despite the bullish, Dogekiona failed to jump higher and fell approximately 20% from a high momentum to $ 0.367 on May 26.
Now a break above $ 0.293 would be a potential-jump with more bullish pressure. If this breaks the Dogecoin price above $ 0.328, it will indicate the beginning of an upward trend. Although the bullish outlook seems plausible from a technical perspective, the indicators suggest otherwise.
Into TheBlock’s Global In / Out of the Money model shows that support levels are relatively weak. For example, approximately 11.2 billion DOGEs were purchased at an average price of $ 0.363 at 245,000 addresses. However, only 3.5 billion tokens were purchased at the cost of $ 0.132 at 234,000 addresses. Therefore, a sudden jump in sales pressure could easily lower the price of Dogecoin, and lower buying pressure could not cope with a large group of very low-priced investors.
The bull scenario will only materialize if buyers push the DOGE price above $ 0.363. On the other hand, if the price of Dogecoin cuts the support to $ 0.213, it would invalidate the bull’s thesis.
A further addition to the optimistic scenario is the decline in the number of new addresses that have joined the Dogecoin network from 104,000 to 21,000 new addresses from May 5 until today. This 80% drop indicates that investors are not interested in meme coins and may reallocate their funds to other crypto projects or collect current profits. Then DOGE could fall another 25% to a demand level of 0.15000
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