Dogecoin Grinds Higher But 'Lower Prices Are To Be Expected,' Warns Technical Analyst

Dogecoin's DOGE/USD strong gains in November point to overall bullish sentiment, but traders expect a pullback in the near term.

What Happened: Crypto trader Cold Blooded Shiller analyzed in a post on X how Dogecoin's recent rally mirrors the market's emotional state.

While the chart indicates bullish sentiment, it shows a structure losing momentum with each high, which could either break upward in bullish conditions — as seen in vertical accumulation patterns — or downward, adding to market uncertainty.

Concerns about fatigue and downside risks are growing, with the market mirroring the DOGE chart: optimistic yet showing signs of possible exhaustion.

Technical analyst Kevin highlighted that DOGE's relative strength index trend line has broken to the downside, suggesting "lower prices are to be expected."

Daily RSI trend line has been broken to the downside on #Dogecoin indicating that lower prices are to be expected. pic.twitter.com/fOxtiWMXl9
— Kevin (@Kev_Capital_TA) December 9, 2024

On a brighter note, Trader Tardigrade observed that DOGE broke out of a symmetrical triangle with no seller resistance, signalling strength. A retracement to $0.44 could provide a buying opportunity, targeting $0.65 for a potential 50% gain.

Also Read: Happy 11th Birthday, Dogecoin! Trader Anticipates ‘Violent Upside Move’ If 3-Week Accumulation Breaks

Why It Matters: Dogecoin’s 106.1% monthly gain has outpaced other meme coins like Shiba Inu SHIB/USD, Dogwifhat WIF/USD and Floki FLOKI/USD, with Pepe PEPE/USD being the only contender ahead in the meme coin race.

Cryptocurrency	Price	30-Day Gains
Dogecoin	$0.4327	+106.1%
Shiba Inu	$0.00002999	+54.9%
Pepe	$0.00002482	+124.4%
Dogwifhat	$3.35	+38.8%
Bonk	$0.00004299	+94.6%

IntoTheBlock data reported around 60.9 billion DOGE being moved by whales in the past 24 hours, causing a 40.1% surge in large transaction volume.

Coinglass data shows Dogecoin short liquidations at their lowest since Oct. 26, while open interest hit a record $4.45 billion, signaling strong market interest.

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