- The price of Dogecoin can get a large decline if it does not break important Fibonacci levels
- Analyst warns against a sale if Doge is struggling to surpass the 0.702 or 0.786 Fibonacci levels
Dogecoin’s [DOGE] Price has always been a roller coaster ride, but the newest process suggests a decisive moment for the bow.
A prominent crypto analyst has warned that Doge can get a major sale if it does not surpass important Fibonacci racement levels in the coming months.
Traders keep a close eye on the FIB levels of 0.702 and 0.786, making this a critical period for the price movement of Doge.
What is at stake for Doge?
The Dogecoin price action is approaching a critical moment while it touches to important Fibonacci retracement levels that can determine the next big move.
According to Analyst Charting GuyThe 0.702 and 0.786 Fibonacci Retracement levels will determine whether Doge continues his climb or is confronted with a steep correction.
Historically, these levels have served as a key resistance and breakout points, making them crucial for predicting the next move of Doge.
An outbreak above the level of 0.786 could activate a meeting to the psychological milestone of $ 1. Not breaking these levels would confirm Bearish Momentum, consistent with broader market cycles and earlier doge corrections.
Source: X
What happens if Doge does not break important Fibonacci levels?
If Dogecoin does not break beyond 0.702 or 0.786 Fibonacci levels, the man of the analysts who warns Guy warns a potential decline. He has stated that he can sell most, if not all, of his doge holdings if this scenario unfolds.
Due to the cyclical price behavior of doge anticipators, investors were already at a possible local top at the end of April or early May.
Historical trends support this view, since earlier Dogecoin meetings were often followed by steep retracements.
If the resistance remains too strong, DOGE can fall to lower the support levels, such as the 0.382 Fibonacci Retracement, or even the previous cycle of LOS points near $ 0.049.
Bottom now, at the top of April/beginning of May?
Technical indicators correspond to the projected timeline for a top April to the beginning of May. At the time of writing, the RSI remained in the daily graph under 40, which indicates a weak momentum.
Although this sold over -selling circumstances suggests that a short -term storage can cause, a persistent upward trend would require a decisive movement above 50.
Source: TradingView
The volume on balance (based on) has steadily decreased, which indicates a reduced purchasing pressure despite incidental price peaks.
Historically, DOG meetings are dependent on a strong social sentiment and whale activity, both of which are essential for maintaining an outbreak.
With a potential big top, traders must keep a close eye on the behavior of Doge at important Fibonacci levels. If Doge does not exceed these levels, the analyst’s prediction can come true: selling may be the wisest choice before the next cycle is reset.
Credit : ambcrypto.com
