Technical analyst forecasts Dogecoin price will surge to $0.90

Summary ⚈ Dogecoin closed above its 50-day MA for the first time since January 18. ⚈ Analyst TradingShot forecasts a conservative $0.90 DOGE target using Fibonacci extension. ⚈ Whale activity and market volatility may limit Dogecoin’s ability to sustain a rally. Dogecoin ( DOGE ) has closed above a key support level for the first time in more than 3 months. At press time on April 23, DOGE was changing hands at $0.174, having marked a 12.12% gain on the 1-week chart. DOGE price 1-week chart. Source: Finbold Namely, the meme coin closed above its 50-day moving average ( MA ) on the 1-day chart on April 22, which hadn’t happened since January 18. Shortly before this, DOGE hit and rebounded off a 2-year higher low zone. Chart expert deems $0.9 a conservative Dogecoin price target Each time such a rebound and close above the MA has happened, Dogecoin price entered a bullish leg as part of a wider cycle, as noted by renowned chart expert TradingShot in an April 23 TradingView post . Moreover, in all such instances, the humorous asset’s relative strength index ( RSI ) indicator showed a bullish divergence, which has happened once again — lending further credence to the technical analyst’s thesis. DOGE price chart with technical analysis. Source: TradingShot on TradingView Finally, the chart expert set a $0.9 price target, equivalent to a 1.5 Fibonacci extension retracement. Readers should note, however, that this was deemed a conservative price target — as previous Dogecoin price rallies reached the 1.786 and 3 Fib levels. With that being said, there are several factors at play that could serve to derail the surge. As it is a meme coin, DOGE is significantly more vulnerable to market-wide dynamics than your average cryptocurrency. In addition, whales dumped more than 570 million DOGE within a single week recently, after having acquired 80 million within a single day — which could signal that sentiment is not bullish enough to follow through on the promising technical signal pointed out by TradingShot . Featured image from Shutterstock The post Technical analyst forecasts Dogecoin price will surge to $0.90 appeared first on Finbold .

Source: Finbold