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The crypto analyst, known as ‘CryptoSanders9563’, was exposed in a report on TradingView that Dogecoin price has broken the congruent triangle pattern. This is a technical pattern, signing a Bullish continuation of Dogecoinit is expected to initiate a price rally to a new target above $0.375.
Symmetrical Triangle to Drive Dogecoin Price Above $0.37
CryptoSanders shared a Dogecoin price chartwhich shows an equilateral triangle pattern formed by the inversion of the trend lines. According to the analyst of TradingView, the price of Dogecoin broke above the upper trendline of the symmetrical triangle at about $0.316, confirming bullish burst and indicating a possible increase in the new price target above $0.375.
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A symmetrical triangle is a chart pattern that shows a consolidation period before a price breakout. When the price of a cryptocurrency finds an exit from this pattern, it usually indicates the beginning of a new trend or the continuation of a previous trend. As a result, breaking out of the lower trendline marks the beginning of a bearish phase and vice versa.
CryptoSanders revealed that Dogecoin trading fee it is accompanied by continued price action above key moving averages, further strengthening its bullish setup. At the time of the analyst’s report, the price of Dogecoin was trading above 50 Exponential Moving Average (EMA) and the 200-EMA.
These two moving averages are key indicators that suggest continued upward momentum for the price of Dogecoin. The analyst of TradingView thought that changing both price movements would be a strong support for Dogecoin, which could strengthen its strength. high pressure.
After the recent breakout of the balancing triangle pattern, the analyst identified $0.375 as the next target for Dogecoin. critical level of resistance. This price point is also the psychological level of Dogecoin, which starts to take profits from investors.
If the price of Dogecoin can break above the resistance level of $0.375, it may start to go higher. price rally to new highs. However, failure to break this level could result in another bearish trend, which could push the price of Dogecoin to the $0.306 support level.
Dogecoin Trade Setup and Strategy
While sharing his an optimistic guess on Dogecoin’s price trajectory, CryptoSanders also outlined a well-defined trading strategy for investors looking to capitalize on this equilateral triangle breakout.
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The analyst pointed to an entry point at the $0.316 price level after the breakout is confirmed. The stop loss of $0.306 is set to reduce the downside risk and avoid financial losses in the event of a failure to break.
Furthermore, the previous target of $0.375 was reaffirmed as key a place to take advantagecorresponding to the resistance area highlighted on the chart. CryptoSanders pointed out that this trade setup offers a favorable reward rate. Investors can get huge profits as long as the price of Dogecoin is above the exit level and the stop loss is respected.
The featured image was created with Dall.E, a chart from Tradingview.com
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