DOGE Price Fluctuates, Investors Remain Cautiously Optimistic

After starting the day on a negative note, bulls rallied and reclaimed control, with the price of Dogecoin (DOGE) falling to $0.07355.

DOGE price surged to an intra-day high of $0.07583 and maintained the trend to press time, valuing it at $0.07416, a 0.34% gain.

Despite the recent market turbulence, the market capitalization of DOGE increased by 0.30% to $9,840,183,387, demonstrating that investors remain positive and are prepared to invest more in it. The 24-hour trading volume, however, declined by 5.62% to $249,090,758, indicating that investors are hanging onto their DOGE holdings rather than selling in a panic.

DOGE/USD 24-hour price chart (source: CoinMarketCap)

While the market is buoyant, negative sentiment may rise, as seen by the Chaikin Money Flow (CMF) reading of -0.04 on the 2-hour price chart for DOGE. The CMF’s downward trajectory reflects the growing selling pressure, so investors should be wary of opening new long positions and may consider cashing in on those already open.

With a rating of -39, the Elder Force Index (EFI) also reflects the pessimistic attitude in the market and suggests that the selling pressure will likely endure soon. This motion might cause a downward trend in the market; therefore, investors must carefully monitor price activity for a reversal before placing any new investments.

DOGE/USD chart by TradingView

The 100-day MA climbs above the 20-day MA, forming a bearish crossing, with the latter hitting 0.0745 and the former at 0.0779. This move indicates that the bullish trend is ending, and a probable reversal is on the horizon. Investors should closely monitor the price activity and consider using risk management measures to safeguard their holdings.

When the price movement falls below both bands, it may signal an oversold state and a possible buying opportunity. This move calls the bullish trend into doubt; thus, traders should exercise care and wait for confirmation before starting a long position.

Moreover, the Money Flow Index (MFI) is trending south with a score of 55.70, indicating some selling pressure in the market, which might lead to additional price declines. This action indicates that investors may be taking gains or decreasing their exposure to the asset, suggesting a likely change in attitude toward a pessimistic view.

DOGE/USD chart by TradingView

DOGE’s recent gains may be short-lived as negative sentiment grows. Investors should exercise caution and closely monitor price activity for potential reversals.

Disclaimer: The views, opinions, and information shared in this price prediction are published in good faith. Readers must do their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be liable for direct or indirect damage or loss.

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