Dogecoin (DOGE-USD) price is showing signs of trouble, according to crypto analyst Kevin Capital. In an X post, he pointed out that Dogecoin has triggered its first sell signal since its bull run began, which could signal a potential downturn. However, Capital clarified that this isn’t set in stone, as Dogecoin still needs to confirm the sell signal on the weekly chart to solidify the bearish outlook.
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Despite this, Capital notes that there are several key bearish indicators at play. For example, the Moving Average Convergence/Divergence (MACD) suggests that upward momentum is slowing down. Additionally, the Stochastic RSI is nearing a bearish crossover, which could further weaken the price. “Three strong indicators currently show that a downside might be imminent,” he said.
Bullish Indicators Still in Play for Dogecoin
While caution is necessary, some analysts remain optimistic about Dogecoin’s price. Despite the bearish signals, Capital emphasized that Dogecoin still looks bullish overall. He pointed to a positive money flow indicator, suggesting that there is still significant market interest in the meme coin. In the volatile world of crypto, Capital stresses the importance of staying objective, “There’s no reason to be a permanent bull or bear. It’s important to stay clear-eyed.”
Other Analysts Predict Bullish Momentum for Dogecoin
Looking at the bigger picture, other analysts like Trader Tardigrade and Rekt Capital are more positive on Dogecoin’s outlook. Tardigrade, in an X post, noted that Dogecoin has broken out of a bullish pennant pattern, which could push the price to $1.30. Meanwhile, Rekt Capital observed a breakout from an ascending triangle, suggesting a possible rally to $0.56.
Dogecoin Shows Strong Performance Despite Market Volatility
Dogecoin has been on a wild ride in 2024, consolidating around the $0.40 range but still managing to post significant gains. November was especially strong, with Dogecoin seeing its best monthly close this year and a 161% gain for the month. Year-to-date, DOGE is up over 375%, a strong recovery from mid-year struggles. If the positive predictions hold true, Dogecoin could continue its upward momentum.
