- Dogecoin faces death cross, will it rise back to $0.45?
- Can Dogecoin bounce back after sharp market decline and death cross?
- Grayscale’s ETF move could ignite Dogecoin’s recovery to $0.45.
Dogecoin has recently experienced a sharp decline, falling from a high of $0.2889 on Thursday to a low of $0.2631 by Saturday. This drop has triggered the formation of a death cross on the hourly chart, a technical signal considered a bearish indication. A death cross occurs when a short-term moving average crosses below a long-term moving average, suggesting further downward momentum.
At the time of writing, Dogecoin is trading at $0.267, showing a modest 0.6% increase over the past 24 hours. However, the cryptocurrency has suffered a 5.46% drop over the past week, highlighting the overall bearish trend in the market. After falling below its key hourly moving averages at $0.267 and $0.274, Dogecoin’s recovery seems uncertain, and it remains below crucial resistance levels.
Analysts are keeping an eye on the $0.288 and $0.307 levels, which could signal a potential rebound if breached. According to crypto experts, if Dogecoin manages to break above $0.29, it could trigger a surge toward $0.36 or even $0.45. However, support remains at $0.2568, and any further declines could expose the cryptocurrency to additional downside risks.
Source: Tradingview
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Will Dogecoin Bounce Back? Key Developments May Influence Recovery
Despite the technical challenges, Dogecoin’s ecosystem is seeing some positive developments. Grayscale has recently filed an amended S-1 registration to convert its closed-end DOGE trust into an exchange-traded fund (ETF), which could soon be listed on the NYSE Arca under the ticker GDOG. This move is a significant step for Dogecoin, bringing it closer to mainstream financial markets.
Moreover, Cleancore Solutions, a company tied to Dogecoin’s treasury, recently added 100 million DOGE, boosting its holdings to over 600 million DOGE. These efforts show growing institutional interest in Dogecoin, even amid the current price struggles.
As Dogecoin faces this technical setback with its death cross formation, all eyes are on its ability to regain lost ground. With potential for recovery to $0.45 if key resistance levels are broken, the coming days will be crucial in determining if the cryptocurrency can bounce back or continue its downward trend.
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