Dogecoin price action on Hitbtc exhibited a tad more volatility than usual, as price dipped below its previous consolidation and dipped close to 45 satoshis before bouncing right back up. The cryptocurrency is back inside its tight range against bitcoin once more and could be headed sideways again.
- Stochastic has moved higher following the quick bounce and is almost indicating overbought conditions. This could draw a fresh batch of sellers in and push dogecoin price action much lower.
- The longer-term exponential moving average (green line) is still holding as resistance and is moving closer to the shorter-term EMA (red line), either reflecting tighter consolidation or hinting at a potential upward crossover.
- An upward EMA crossover could be an early signal for an uptrend, as price has failed in its last three attempts to break lower and buyers jumped in at lower prices.
- Dogecoin price has also formed higher lows, indicating that buyers are trying to keep prices afloat.
- A break above the current range resistance at 50 to 51 satoshis could confirm the possibility of a rally, although fake outs are likely given the pair’s volatility.
On the other hand, a downside break of the range support around 47 to 48 satoshis could lead to another spike lower, perhaps until the 45 satoshis level again. Sustained moves below this area might mean that sellers have gained enough strength to let the longer-term downtrend carry on.
Conclusion
Darkcoin price action still hasn’t shown any clear directional moves lately, as the recent spike lower still left the cryptocurrency pair back in its previous range. Moving averages are hinting at further consolidation while stochastic seems to be favoring a move lower, along with the ongoing long-term downtrend. However, the hesitation among sellers and the resilience of buyers might be enough to soon trigger a sustained upside break from consolidation and further gains for darkcoin against bitcoin.
