Crypto analyst Kevin Capital has warned of bearish indicators for Dogecoin price. The analyst stated that Dogecoin sent its first sell signal since the start of its bull market and revealed what to watch out for following this development.
Dogecoin price signals a sell signal
In an X post, Kevin Capital said that one should acknowledge and not ignore that the Dogecoin price is now seeing a squeeze Sell signal in a weekly time frame. He added that this development is not yet set in stone as Dogecoin needs to print this sell signal on the upcoming weekly chart to confirm this bearish outlook.
Kevin Capital also highlighted other bearish indicators for Dogecoin price. He explained that the moving average convergence/divergence (MACD) shows that the bullish momentum is decreasing. Now it is Stochastic RSI is filled and waiting for a bear cross. Accordingly, the analyst explained that three strong indicators that are currently converging suggest that a potential downtrend is imminent.
However, Kevin Capital stated that Dogecoin price action still looks bullish Cash flow indicator is also bullish. He noted that he tends to favor these bullish indicators over those in any market. The crypto analyst believes that the bearish indicators are still worth pointing out as they should be kept in mind. He added that there is no reason to be a permanent bull or bear. Instead, it is important to keep a clear perspective.
The Dogecoin price is currently consolidating around the $0.4 mark and just had its best monthly close this year in November, a month in which it recorded a 161% gain. Thanks to this development, Dogecoin, which struggled in the middle of the year, is up over 385% year-to-date (YTD).
A more bullish perspective for the meme coin
Crypto analysts like Trader Tardigrade have offered a more optimistic perspective on the Dogecoin price. In one X contributionThe crypto analyst stated that Dogecoin’s daily candle closed with a breakout candle from the bullish pennant. He added that DOGE will finally be pushed above resistance to break the pattern and initiate the next increase towards the $1.3 target.
Crypto analyst Rekt Capital marked an ascending triangle from which Dogecoin price confirmed a breakout after setting a daily close above the pattern high at $0.43. Its accompanying chart showed that Dogecoin could next rise to $0.56 after breaking out of this ascending triangle.
Crypto analyst The Cryptomist offered a more optimistic forecast based on this bullish ascending triangle. She specified that the Dogecoin price is heading towards $0.70 in the coming week. This rally would take the leading meme coin close to its current level All-time high (ATH) of $0.73.
At the time of writing, Dogecoin price is trading at around $0.43, up almost 2% in the last 24 hours Data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com