"Dogecoin Analysis: Elon Musk's Favorite Cryptocurrency"💹 Let's analyze this popular cryptocurrency that has brought many enthusiasts closer to the crypto market.
📊 Weekly Timeframe Analysis :
In the weekly timeframe, if we examine the long-term candles, we remain in an uptrend. In the closer candles, after exiting the 0.05653 to 0.10223 box, unlike most crypto coins, we broke the box's top and started an upward movement. After reaching the resistance at 0.22426, we are currently in a resting phase with decreased volume, which still confirms the trend.
🔍 The Importance of Weekly Boxes in Cryptocurrency :
The significance of weekly boxes in cryptocurrency is crucial. This is an excellent point for explaining the crypto market and holding a long-term portfolio. It doesn't mean that it's the right time to buy now and convert all money into coins; this view is entirely wrong. You should act based on technical analysis and the project's fundamentals, as well as market ratios.
💡 What does this mean?
⏳ It means that after studying the project and understanding its long-term goals and importance in life or blockchain, you should wait for the trigger to activate. It's just like trading in futures. You need to analyze the weekly chart as you would analyze a 4-hour chart. For example, weekly boxes in cryptocurrencies like LINK, DOGE, JASMY, MKR, and VET. So, it's not too late; you should act technically. For this coin, after breaking the weekly box, volume and money entered the coin, causing a pump.
📅 Daily Timeframe Analysis :
In the daily timeframe, we have bounced back from the support at 0.12889, which is around the 0.382 Fibonacci level. If we bounce back from this level, the likelihood of breaking the top and starting an upward trend increases. Additionally, the volume decreased after hitting the resistance at 0.22084 and the appearance of seller candles, which is also a good sign for price increase.
📈 Long Position in Futures :
For a long position in futures, after 0.17372, you can open a long position in the trend direction. However, it's better if the volume increases after the breakout and confirms our probable trend.
📉 Short Position :
For a short position, there are better coins in the market like ATOM, MASK, and others. However, if you are only trading this coin, you can consider a lower top after breaking 0.15637 in the lower timeframes and open an early short position, but you still need volume confirmation.
💼 Buying DOGE :
For buying this coin, I will wait for now. Aside from the chart, the project itself is significant to me. This coin is more of a joke and doesn't have a specific function or activity, but because it has a strong community and Elon Musk supports it (in my opinion, he is the project owner), we can add it to the portfolio after our triggers are met. If there are any triggers, I will update the analysis, and if not, try to buy after breaking 0.22084.
🔮 Future Supports and Resistances :
Future supports: 0.12889, 0.10223, 0.07749
Future resistances: 0.17372, 0.22084, 0.34357
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😊 If you'd like me to analyze a specific coin or currency pair, be sure to comment so that I can allocate the next analysis for you!
⚠️ Also, please remember that I'm just an analyst, and this isn't financial advice. We're here to stay in the market and maximize profits by adhering to risk and capital management principles.