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Will Dogecoin Skyrocket? Last Chance to Seize the Breakout Opportunity in 2.5 Days!
Dogecoin news is buzzing as the popular meme-based cryptocurrency approaches a crucial weekly level. Currently, Dogecoin is retesting the mid-$0.27 range, a pivotal “springboard” identified by renowned trader Rekt Capital. As we move closer to Q4, macroeconomic conditions and USDT dominance trends, highlighted by analyst Kevin, are likely to influence whether Dogecoin can build momentum.
Dogecoin Bulls Face a Critical Crossroads
On the weekly DOGE/USDT chart shared by Rekt Capital, the price has bounced back into the $0.27 to $0.28 zone, attempting to convert this range into a support level. As of the latest update, the active weekly candle trades near $0.28410 with only 3 days and 6 hours left in the trading week. This price sits directly above a support level at approximately $0.27884.
Looking upward, the next significant resistance level is the previous range high at $0.33817, with a psychological resistance level at $0.30000. If Dogecoin fails to hold above the current “springboard,” intermediate support levels are situated around $0.23000 and $0.22014. Importantly, the higher-time-frame safety net remains near the pre-halving high region around $0.15901, coinciding with an ascending trendline that had been successfully retested in July.
A Clear Path to Potential Gains
Rekt Capital laid out a straightforward scenario: “If Dogecoin is able to turn $0.27 (green) into support, then the price will break out to at least $0.33.” The ongoing retest is crucial, as daily and weekly closes must remain above $0.27 to solidify this level as a new support base. Just five days prior, he mentioned that Dogecoin seems to have turned the pre-halving highs into new support, marking a significant technical shift.
Structurally, this price action resembles a classic higher-low pattern off trendline support, followed by a return to the range midpoint. Sustained closes above this midpoint could launch Dogecoin towards the range high. The chart’s geometry supports this analysis, with a rising black trendline from late 2024 establishing a series of higher lows through June and July.
What Lies Ahead: Macro Conditions and USDT Dominance
The immediate future of Dogecoin may depend on broader macro liquidity and the general crypto risk cycle, which Kevin (Kev Capital TA) tracks through USDT dominance. His 2-week and 1-month USDT.D chart indicates a three-year descending triangle characterized by a series of lower highs and a flat demand shelf near 4% to 5%.
Kevin noted, “This has helped me call the lows on #BTC in 2022/2023 and identify every top and bottom in this market since.” As the current monthly candle hovers around 4.23% within this base, the potential for a decisive breakdown in USDT dominance could indicate capital flowing out of stablecoins into risk assets, historically a bullish signal for altcoins.
Conversely, a bounce at support would maintain the current range, favoring a cautious liquidity preference that has often capped altcoin strength. Momentum indicators on Kevin’s chart suggest that we are at a critical inflection point rather than a conclusion.
The Fed’s Role and Market Sentiment
Furthermore, macro guidance from the Federal Reserve could serve as a significant lever for market direction. Kevin remarked, “The Fed has laid out a clear pathway for continued easing.” As long as economic indicators like inflation and labor data remain favorable, the crypto market could see upward movement as 2023 closes.
In the short term, however, Kevin cautioned that September’s market behavior aligns with historical patterns: “No volume and no liquidity are flowing in. Currently, it’s mostly leverage-driven. Better volatility is on the horizon.”
Final Thoughts for Dogecoin Traders
For Dogecoin traders, this scenario presents a binary yet straightforward technical challenge: secure a weekly close above $0.27 to validate the “springboard” and keep sight of resistance levels at $0.30000 and $0.33817. Conversely, failing to uphold this level may push prices back into the mid-$0.22 range, where buyers have recently shown support.
As of now, DOGE is trading at approximately $0.27339. For continual updates on cryptocurrency trends, be sure to check out relevant text and consider leveraging exchange platforms such as relevant text for trading opportunities.
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