Dogecoin, like the rest of the crypto market, has been struggling recently despite the market recovery. This has been due to the stall in the rally as investors wait for the next move from Bitcoin. During this time, bearish sentiment has begun to take hold once again. However, this makes it a time for investors to consider entries into cryptocurrencies like Dogecoin, and one crypto analyst has revealed the best level to get into DOGE.
Wait For Support At $0.17
Crypto analyst Lingrid on the TradingView website has returned with expectations for the Dogecoin price and where the meme coin could be headed next. As a result, this has seen the exposure of the next levels that would make a great entry point for the meme coin. Now, as the downward correction takes hold, the crypto analyst believes that investors should wait for the next major support level before buying.
The next support level in question is at $0.17, which the analyst believes will be filled. Currently, the Dogecoin price is falling from a fake breakout and is now struggling with sideways movement. This shows that the altcoin is headed for the next support area.
At this point, which is $0.17 and $0.171, it aligns with the upward trend line before the last rally that pushed Dogecoin above $0.18 recently. This makes $0.17 an ideal buy level as bulls would be looking to hold this support. As the crypto analyst explains, a successful hold of this support would see a resumption of a bullish rebound, which could push the meme coin back up as high as $0.1850.
Basically, the time to buy would be a bounce from the trend line of $0.17. “As long as price stays above the trend-line, bullish structure remains valid,” the analyst explained. However, things could still go awry from here.
What Happens If Bears Break Down The Support?
While the bullish scenario holds strong in this case, there is still the possibility that bears could push the Dogecoin price further down below $0.17. In that case, the crypto analyst explains that a deeper correction could be on the horizon. It is likely that a break of this support would see bulls scramble to hold $0.165.
Other factors that could cause a problem include “Sudden spikes in Bitcoin or market-wide sentiment shifts,” which the analyst believes can shake the setup, and “Lower timeframe volatility near trend-line” that could trap early entries.
Given this, it is imperative that bulls hold $0.17 when the time comes, which is around an 8% drop from the current price at the time of this writing.
Featured image from Dall.E, chart from TradingView.com
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