- Dogecoin declines 3% to $0.144 after rejection at middle Bollinger Band level
- TD Sequential indicator displays S13 setup signaling possible buying opportunity
- Analyst identifies Dragonfly Doji pattern at $0.15 support targeting $1 price
Dogecoin dropped 3% over the past 24 hours to trade at $0.144 after facing rejection at the middle Bollinger Band. The meme coin’s TD Sequential indicator signals a potential buying opportunity despite recent price weakness.
Dogecoin declined 4% over the past week and fell 4.6% over the two-week period. This performance contrasts with broader market recovery attempts, leaving traders with mixed sentiment.
Technical Indicators Show Indecisive Market
The TradingView chart displays several key technical indicators suggesting current market indecision. Bollinger Bands indicate relatively low volatility as the bands contracted. This narrowing suggests Dogecoin may break out or continue consolidating near current levels.
Price currently approaches the lower Bollinger Band at $0.13668, which functions as support. The upper Bollinger Band at $0.16367 serves as immediate resistance. If Dogecoin fails to hold current support, the next area to watch sits around $0.13 where previous price action indicates a potential bounce zone.
The Relative Strength Index stands at 44.93, just below the neutral 50 level. This suggests neither buyers nor sellers have pushed the market into overbought or oversold conditions, typically signaling indecision. A drop below 30 could indicate oversold conditions and potential reversal, while a rise above 50 would signal increasing bullish momentum.
Veteran analyst Ali Martinez highlighted the TD Sequential indicator on a weekly chart. The indicator predicts potential price exhaustion points and reversals. The key signal shows an “S13” label indicating Sequential Setup 13, suggesting a possible buying opportunity based on the TD Sequential method. The 9 label further reinforces this buy signal.
Trader Tardigrade’s chart identifies a Dragonfly Doji formation, a bullish reversal candlestick pattern that forms after downtrends. This pattern shows buyers stepping in at lower levels and driving price back toward the candle’s upper range, hinting at growing bullish pressure.
The pattern appeared at crucial $0.15 support that aligns with a long-term uptrend trendline. Trader Tardigrade forecasts a potential rally to $1, marking a 611.80% gain from the support level. This target requires Dogecoin to break through current resistance zones and maintain momentum above key technical levels.
Source: https://thenewscrypto.com/dogecoin-stalls-at-key-resistance-td-sequential-points-to-breakout-potential/
