FXEMPIRE
All
Ad
Advertisement
Advertisement
Vladimir Zernov
Add to Bookmarks

Dogecoin Video 05.05.21.

Dogecoin Tries To Settle Above $0.70

Dogecoin continued to rally and made an attempt to get to the test of the $0.70 level as traders bet that adoption of this cryptocurrency will continue to grow.

Advertisement
Know where the Market is headed? Take advantage now with 

Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

On May 3, eToro stated that it would add Dogecoin to cryptocurrencies that were traded on its exchange. EToro stated that the decision was made to due client demand.

On May 4, Bitfinex made Dogecoin pairs (DOGE/USD and DOGE/USDt) available for margin trading, which allows traders to borrow funds in order to increase their leverage and potential profits.

These moves provided significant support to Dogecoin as traders bet that increased adoption of the cryptocurrency will further boost its market cap. At this point, Dogecoin ranks fourth by market capitalization behind Bitcoin, Ethereum and Binance Coin.

Advertisement

Technical Analysis

Dogecoin managed to settle above previous highs at $0.60 and made an attempt to get to the test of the $0.70 level. RSI has moved into the extremely overbought territory so the risks of a pullback are increasing.

At the same time, it should be noted that RSI remains far below extreme levels that were reached back in mid-April so Dogecoin maintains solid chances to gain additional upside momentum.

The recent upside move was very fast so there are big gaps between levels. The nearest support level for Dogecoin is located at the previous highs at $0.60. In case Dogecoin settles below this level, it will move towards the next support at $0.5350. A successful test of this support level will open the way to the test of the major support level at $0.45.

On the upside, Dogecoin needs to settle above $0.70 to continue its upside move. A move above this level will likely attract more speculative traders which will be bullish for Dogecoin. I’d note that traders should keep in mind that Dogecoin is set to be very volatile in the upcoming trading sessions.

For a look at all of today’s economic events, check out our economic calendar.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker