Dogecoin Price Approaches Key RSI Level for Potential 70% Rally
Dogecoin has experienced a price slowdown after a rise in July. Currently, it is trading below $0.2, and bearish sentiment has taken over the market. However, investor optimism remains strong, expecting this dip to be temporary.
Key Points
- Analyst KrissPax notes Dogecoin is showing signs of bullish formation despite recent declines.
- The Relative Strength Index (RSI) may drop below 30 again, historically leading to significant recoveries.
- Previous instances of RSI below 30 saw a recovery of over 70% within a month.
- Current prices are at $0.2, higher than previous lows, indicating potential for future gains.
- A 70% increase could push Dogecoin's price to $0.34, though still below its all-time high of $0.74.
- After a 27.1% gain in July, Dogecoin is down 5.31% in August, which is typically a bearish month.
- Historical averages suggest a potential decline of around 10% for Dogecoin this month.
