If Dogecoin Falls Below This Level, A Freefall To $0.06 Is Possible
In an article on Tuesday X, crypto analyst Ali Martinez (@ali_charts) shared a long-term Dogecoin (Doge) price list that highlights a key level of support that, if lost, may be for Thorough correction opens the door. Martinez specifies $0.19 as the line in the sand. He should drop below this threshold with a meme inspired token debate“The probability of deeper correction to $0.06 is significantly increased.”
Dogecoin crashing to $0.06 coming soon?
Weekly charts (dating back to early 2014) for sales Dogecoin in Extensive upward channels. The solid black trend line contains most of the price action, from Doge’s earliest Apenny valuation to a full-time height of about $0.73 in 2021. The dotted lines parallel to these trend lines seem to act as a guide in the channel, capturing smaller fluctuations internally. Dogecoin’s larger market cycle.
It is worth noting that Doge took a long time to move sideways within the lower range of this channel, only breaking sharply when testing the upper limit. When Martinez posted the chart, he saw Dogecoin hovering around $0.225, above the key horizontal support area in the chart.
Related Readings
The channel covers Fibonacci levels derived from Dogecoin’s long-term price history. 0.786 FIB drawdown – usually considered as a support for constituting or destruction Deeper correction– It seems to be aligned with $0.1978, very close to the 0.19 level of Martinez.
The chart is below $0.19 with almost no immediate tech mat until about $0.13, which is consistent with the lower part of the multi-year-high channel. Below this, the $0.06 price point is the most prominent Downward targetit is possible to match the critical historical congestion zone and be consistent with the lower part of the multi-year ascension passage.
Other Fibonacci levels visible on the chart include 0.618 fib close to $0.05, 0.5 fib close to $0.03, 0.382 fib close to $0.015 and 0.236 fib close to $0.0059. While these lower fiber lines may not all work, they help to map Doge’s historical support/resistance zones when sold.
Related Readings
The graph also shows higher FIB expansion levels such as 1.272 ($4.10), 1.414 (approximately $10.04) and 1.618 (approximately $36.32). Although these may seem far away given the current market conditions, this expansion on the long-term chart can serve as a reference point if Dogecoin regains strong bullish momentum and climbs to new heights in future market cycles.
Currently, all eyes are on $0.19 because of the key turning point of Dogecoin. If Doge maintains a height at this level, it can be retained in the middle of the ascending channel. But, as Ali Martinez warns, a $0.19 violation could exacerbate downward pressure and potentially put Dogecoin on the $0.06 path.
At press time, Doge traded at $0.206.
Featured Images created with dall.e, Charts for TradingView.com
