Analyst Identifies Key Factors for Dogecoin Price Surge

Technical analyst Kevin (@Kev_Capital_TA) identifies a crucial support level for Dogecoin (DOGE) at $0.138, aligning with a 38.2% Fibonacci retracement from 2021's high to last year's low. Currently, DOGE trades around $0.18 after a brief dip.

Potential Price Movement

Weekly RSI shows a positive trend with higher lows since the bear market.
One-week Stochastic RSI indicates a bullish crossover; a two-week crossover is upcoming.
Kevin notes an appealing risk-reward ratio, suggesting minimal downside with significant upside potential.
His community members entered at $0.15 with a break-even stop loss.
Positive macroeconomic data is necessary to sustain momentum.

The chart indicates resistance levels:

50% retracement at $0.19039, near a broken trend line.
61.8% retracement at approximately $0.26216, a critical threshold for upward trends.
78.6% retracement around $0.41339 aligns with early-2022 price levels.
Full retracement near $0.73839 would recover previous declines.
Price discovery above $1 is possible if these levels are reclaimed.

Market Considerations

Kevin sets a short-term target of 65.45% for Bitcoin Dominance (BTC.D), anticipating it will create opportunities for altcoins, including DOGE. He emphasizes that neither Bitcoin nor altcoins have entered a parabolic phase due to current monetary policy and liquidity issues.

However, he expects changes as global liquidity increases and monetary policies ease, despite delays caused by central banks' pandemic responses. For DOGE to reach higher targets, like $0.26 and $0.41, broader market liquidity must improve.

At press time, DOGE is priced at $0.175.