How Low Can Dogecoin Go Before Rallying Again? Expert Forecast 📉
Dogecoin recently soared nearly 200%, hitting a local peak of $0.4385, before correcting by 19% to $0.37. This rally pushed the daily Relative Strength Index (RSI) to nearly 93, indicating overbought conditions.
Crypto analyst Kevin forecasts that Dogecoin may experience further corrections. He suggests the $0.30-$0.26 range as a potential low, resembling a 30-40% correction from the peak. This aligns with past bull market patterns, when Dogecoin repeatedly hit 90+ RSI figures before further upward movements.
Kevin also predicts a 1-3 week correction period, which he sees as necessary to cool off indicators. He highlights Dogecoin's historical patterns, which include hitting 90+ on RSI during the 2020-2021 bull market three times, each marking consolidation before another upward leg.
The formation of a symmetrical triangle indicates possible price consolidation or reversal. Kevin emphasizes that Dogecoin might still correct further due to the overbought RSI levels, potentially reaching around $0.28.
The correction phase, according to Kevin, is integral as it resets indicators for subsequent gains. As of now, Dogecoin is trading at $0.37, with support at $0.35 and the RSI at 80, suggesting more correction may be needed.
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