Dogecoin (CRYPTO: DOGE) has been in a sleepy slumber since Jan. 22 when the crypto fell to the 12-cent level and immediately bounced up above the 13-cent mark. Since that date, Dogecoin has mostly traded sideways, closing the last nine 24-hour trading sessions within a 1-cent range between $0.133 and $0.143.
On Monday, Dogecoin co-creator Billy Markus used the meme to wish his followers a Happy Lunar New Year on Twitter. The day marks the beginning of a new year in China and for its citizens this lunar year will be not be represented by a dog but by a tiger.
The next year of the dog won’t come until 2030, but Dogecoin enthusiasts will likely continue to cheer on the Shiba Inu-themed crypto this year, just as they did in 2021 when Doge soared almost 16,000% to reach a May 8 high of 79 cents before starting a long-term downtrend.
Currently trading at about 14 cents, Dogecoin may be ready to make another break higher if it is able to break up from the horizontal pattern.
The Dogecoin Chart: Within Dogecoin’s horizontal trading pattern, the daily trading range has been tightening as the crypto runs out of both buyers and sellers. This demonstrates a period of consolidation, which will eventually end when the crypto breaks up or down from the pattern on higher-than-average volume.
- Dogecoin may also be settling into a triangle pattern on the daily chart. If that pattern is recognized, Dogecoin could reach the apex of the triangle on Feb. 2 and traders can watch for the crypto to break up from the descending trendline of the pattern or down from the ascending bottom trendline on higher-than average volume to gauge future direction.
- By mid-afternoon on Monday, Dogecoin’s trading volume was measuring in at just 159,726 million, which is far below the 10-day average of 395,253. This indicates there is currently little interest in the crypto.
- Dogecoin is currently rejecting the eight-day exponential moving average on the daily chart. Bullish traders may want to wait until the crypto has regained the area as support for more confidence going forward.
- Dogecoin has resistance above at $0.146 and 16 cents, and support below at $0.135 and the 21-cent level.
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