Kevin Capital, a crypto analyst, has raised concerns about potential bearish trends in Dogecoin’s price. He indicated that for the first time since its recent bullish momentum, Dogecoin has shown a sell signal, prompting a closer look at future trends.
Sell Signal for Dogecoin
In a post on X, Kevin Capital pointed out that Dogecoin is now displaying a sell signal on its weekly chart. He emphasized that this signal is not definitive yet; confirmation will depend on a similar signal appearing in the following week’s chart.
Moreover, he noted additional bearish signs for Dogecoin. Notably, the Moving Average Convergence Divergence (MACD) indicates a waning upward momentum, and the Stochastic RSI suggests a potential bear cross. These factors, along with three other reinforcing indicators, suggest a possible decline ahead.
Despite these warnings, Kevin reassured that Dogecoin’s price movements still appear optimistic, with the money flow indicator signaling positive trends. He expressed a preference for bullish indicators while acknowledging the importance of staying aware of bearish signals. He advised against consistently adopting a bullish or bearish stance, instead promoting a balanced perspective.
Currently, Dogecoin is trading around the $0.4 level, having recently achieved its best monthly close this year with a remarkable 161% increase in November. This upswing has led to a total year-to-date (YTD) gain of over 385%, bouncing back from mid-year struggles.
Optimistic Views on Dogecoin
Other crypto analysts, including Trader Tardigrade, have taken a more positive view on Dogecoin’s trajectory. In a recent post, he noted that Dogecoin’s daily candle closed as a breakout from a bullish pennant, suggesting that DOGE has overcome resistance and is poised for an upward move towards the $1.3 target.
Furthermore, Rekt Capital pointed out that Dogecoin recently broke out from an ascending triangle, surpassing the $0.43 level, which could indicate a potential rally to $0.56. His analysis included a chart illustrating this pattern.
Additionally, analyst The Cryptomist projected a bullish outlook based on the ascending triangle, predicting that Dogecoin could reach $0.70 in the coming week, approaching its previous all-time high of $0.73.
As of now, Dogecoin’s price hovers around $0.43, marking nearly a 2% increase over the past 24 hours, as per CoinMarketCap data.
