Dogecoin Soars 35%, Here’s Why Breaking This Level Is Crucial

Dogecoin (DOGE) price showed a strong rally after Tesla’s CEO Elon Musk reiterated his support for DOGE last week. The price soared more than 35% in a week, on the back of strong buying. The DOGE price skyrocketed from $0.051 to $0.077.

Interestingly, Dogecoin has seen massive trading volume in the last 24 hours, which pushed prices to rally by 12%. However, Dogecoin is now reaching an inflection point at $0.082, which will further decide bullish or bearish momentum in the upcoming weeks.

Dogecoin (DOGE) Price Reaches Inflection Point

Dogecoin was trading in a range near the $0.08 level for a long time since May. Moreover, bulls have passed the $0.073 mark, from which Dogecoin may proceed to test the daily 50-EMA barrier at $0.082. Thus, it has now become the inflection point for DOGE.

If the Dogecoin (DOGE) price successfully moves above the inflection point at $0.082, bulls will take charge to push the price to the next resistance level at $0.1090. However, if the price fails to stabilize above the inflection point, a bullish rally could be invalidated. It would result in prices falling below $0.068, the 9-day exponential moving average.

Currently, Dogecoin shows struggles to maintain above the $0.073 level as it faces selling pressure. Therefore, investors need to closely monitor Dogecoin and its upcoming corrections.

Regardless, the DOGE price rises strongly above the inflection point at $.082, it will recover to $0.1090. The $0.1090 level is also a horizontal resistance barrier. Thus, investors can expect Dogecoin price to make a local high here.

The RSI has risen strongly with increased buying seen in the week. RSI is at 56.37, moving above the neural zone in the last 24 hours.

DOGE Price Rises Strongly After Musk’s Support

Regardless of facing the $258 billion lawsuit for running a Dogecoin pyramid scheme, Musk has asserted support for Dogecoin. Moreover, The Dogecoin price has been rising confidently despite recent reports of DOGE gaining traction on the dark web.

In the last 24, Dogecoin has seen a nearly 200% rise in trading volume. However, it is better to wait until the price crosses the $0.082 level.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.