Dogecoin has appreciated from 0.0024 through 0.4481 within a short span of six months. The Elliott Wave counts are presented here on the Daily chart and they are suggesting yet another rally above 0.4481 mark in the next few trading sessions.
Dogecoin has been successful in producing a religious uptrend since 0.0024 lows in November 2020 through April 16, 2021 high registered at 0.4481 mark. The crypto stays clearly into the buy zone of its rising trend line support and bulls are expected to remain in control.
The wave structure is suggesting that Dogecoin might have completed larger degree Waves (1), (2) and (3) around 0.0042, 0.0031 and 0.4481 levels respectively. Furthermore, similar degree Wave (4) might have terminated around 0.1552 or close to terminating soon.
Also note that Daily RSI has dropped close to 40 levels, a common guideline for Wave (4) to terminate. If the above structure holds well, Dogecoin might be preparing to push above 0.4481 mark to terminate Wave (5).
Alternately, Wave (3) might be still unfolding if the 3rd of (3) wave was an extension. Either way, Dogecoin is poised to rally soon towards fresh highs. Only a break below the trend line, would change the existing bullish structure.
Traders might be preparing for yet another rally above 0.4481 levels going further. After Wave (5) is terminated above 0.4481 mark, we can expect a 3 wave corrective drop, before the next leg resumes higher again.
Finacademy Technical Team
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