Why is Dogecoin price down today?

The worth of Dogecoin (DOGE) is down immediately, mirroring the development elsewhere within the cryptocurrency market.

Elon Musk triggers DOGE profit-taking

On July 18, DOGE worth fell 1.75% to $0.068, barely underperforming the remainder of the crypto market that dropped 1% in the identical interval.

Dogecoin’s worth decline got here as part of a broader correction from its native excessive of $0.075, established after Ripple’s partial win over the U.S. Securities and Alternate Fee (SEC) three days in the past.

The day earlier than, DOGE noticed a modest, albeit short-lived positive factors resulting from Elon Musk. Dogecoin worth climbed 5.3% to $0.073 after the billionaire seems to have referenced the meme-cryptocurrency.

Doges

— Elon Musk (@elonmusk) July 17, 2023

Due to this fact, the July 18 pullback may very well be the results of merchants securing short-term earnings enabled by Musk.

Moreover, the draw back transfer trapped enthusiastic bulls throughout crypto derivatives exchanges, resulting in lengthy liquidations price $1.50 million previously 24 hours, which probably intensified the selloff.

DOGE worth outlook in July

From a technical standpoint, DOGE’s correction began after testing a resistance confluence comprising of its 200-day exponential transferring common (200-day EMA; the blue wave within the chart under) and a multi-month descending trendline (black).

As of July 18, DOGE/USD held above the resistance-turned-support of 50-day EMA (the purple wave) close to $0.068. Failing to carry it longer may imply an prolonged decline towards $0.066 in July, a assist confluence comprising a horizontal line (purple) and an ascending trendline (black).

Conversely, a bounce from the 50-day EMA may have DOGE worth take a look at the resistance confluence close to $0.075 as their July upside goal.

Dogecoin worth long-term outlook

Dogecoin has in the meantime painted what seems to be a “BARR Backside” sample on its each day chart.

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BARR stands for Bump-and-Run-Reversal, a technical setup that conventional analysts understand as a bullish reversal sample when fashioned throughout a bear market. As of July 18, DOGE worth seems to be within the sample’s breakout stage, as illustrated under.

If the sample is confirmed by additional positive factors, DOGE worth can develop by as a lot because the BARR Backside sample’s most peak. In different phrases, a bullish goal o $0.088 by September 2023, up 30% from present worth ranges.

This text doesn’t comprise funding recommendation or suggestions. Each funding and buying and selling transfer entails threat, and readers ought to conduct their very own analysis when making a choice.