Dogecoin's Bear Cross Sparks Debate Among Technical Analysts
Dogecoin's price action has left technical analysts divided over whether last week's selloff marked a bottom or the start of a deeper decline. The token is currently trading at $0.10, stuck in a range between $0.08 and $0.13.
A rare weekly bearish cross occurred when the 20-week exponential moving average fell below the 200-week EMA, a signal that historically indicates a bottom for Dogecoin. Charting Guy flagged this event, arguing that he has increased his position by 50% at the lows.
However, not all traders share this conviction. Daan Crypto Trades called the bounce off $0.08 'constructive' but framed it as a range trade, rather than a trend reversal. He sees the current price action as a 'large range', with no clear direction.
The CEO of Alphractal, João Wedson, struck a cautionary note, warning that if you are long on Doge, you will likely be liquidated soon. The firm's aggregated liquidation heatmap shows thick bands of potential liquidation levels sitting below DOGE's current price, suggesting stop-driven cascades if the token breaks lower.