![\"Dogecoin](\"https:\/\/pbs.twimg.com\/media\/Gtbg1d2WwAAicOW?format=jpg&name=4096x4096\")
<\/p>\nAn analyst has explained how Dogecoin might have to hold strong above this level, if the memecoin has to avoid a 30% price drop.<\/p>\n
In a new technical analysis (TA) perspective. Below is the graph in question, showing the trend in the 1-day price of the memecoin.<\/p>\n
From the chart, it’s visible that the Dogecoin price has possibly been trading inside a triangular channel during the last few months. The channel hasn’t appeared to be just any triangle-shaped one, either, but a special type called the Symmetrical Triangle.<\/p>\n
A Symmetrical Triangle forms whenever an asset observes consolidation between two trendlines converging at a roughly equal and opposite slope. The upper line of the pattern tracks lower highs in the price, and the lower one higher lows.<\/p>\n
As the asset moves inside this channel, its range becomes narrower with time, until it shrinks down to a point at the apex. Generally, volatile moves are more likely to occur when consolidation tightens, so a breakout of the pattern becomes increasingly probable as the price approaches the tip of the triangle<\/p>\n
Symmetrical Triangle breakouts can signal a continuation of the trend in the direction of the break. This means that a rise above the pattern can be a bullish sign, while a drop below it may be a bearish one.<\/p>\n
As displayed in the chart, the 1-day price of Dogecoin has recently been nearing the end of the triangle, a potential sign that a breakout could be imminent. Currently, the memecoin is retesting the lower line, so it will be interesting to see whether the level holds or if this is where a break would finally happen.<\/p>\n
Unlike the Ascending and Descending Triangles, two other popular types of triangular channels in TA, breakouts are usually considered to be equally probable in either direction for a Symmetrical Triangle. The reason is simple: consolidation occurs in an exactly sideways manner in this pattern. In contrast, the Ascending and Descending types slope upward and downward, respectively, which can bias the breakout direction.<\/p>\n
Thus, even if Dogecoin is retesting the lower level right now, a rebound and then breakout from the upper line may also still be quite possible. That said, in the event that a bearish breakout does take place, things can be especially troubling for DOGE, as there is another level of importance just nearby.<\/p>\n
The level in question, situated around $0.168, corresponds to the 0.786 Fibonacci Retracement level. Fibonacci Retracement levels are lines defined using ratios found in the famous Fibonacci series. “Dogecoin $DOGE must hold above $0.168 to avoid a 30% price drop!” warns the analyst.<\/p>\n
At the time of writing, Dogecoin is trading around $0.177, down over 4% in the last week.<\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
An analyst has explained how Dogecoin might have to hold strong above this level, if the memecoin has to avoid a 30% price drop. Dogecoin Is Currently Trading Inside A Symmetrical Triangle In a new technical analysis (TA) perspective. Below is the graph in question, showing the trend in the 1-day price of the memecoin.…<\/p>\n","protected":false},"author":1,"featured_media":5298,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[131],"tags":[133,132,2714,375,2715,135],"class_list":["post-5297","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-dogecoin","tag-doge","tag-dogecoin","tag-dogecoin-crash","tag-dogecoin-price","tag-dogecoin-symmetrical-triangle","tag-dogeusdt"],"_links":{"self":[{"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/posts\/5297","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/comments?post=5297"}],"version-history":[{"count":0,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/posts\/5297\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/media\/5298"}],"wp:attachment":[{"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/media?parent=5297"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/categories?post=5297"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitcotasks.com\/blog\/wp-json\/wp\/v2\/tags?post=5297"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}