On Wednesday, Feb 18, Dogecoin (DOGE) is trading at $0.09994, declining by 0.05% in a day. However, the asset’s weekly gains are at 11.3%. The trading volume for the token has declined by 5.78% to $883.31 million, according to CoinMarketCap.
Source: CoinMarketCap
DOGE Builds Cup Pattern With Rising Strength
Crypto analyst Trader Tardigrade highlighted that DOGE has successfully completed a clean Cup formation. The Cup formation began at the asset’s price level of $0.08 before moving higher to the $0.11 level.
This signal indicates the token’s tendency to continue moving higher as it completes the formation. The asset’s move beyond the resistance level of the Handle formation will pave the way for the coin to move higher. The Cup formation indicates strength in the DOGE overall trend.
The DOGE price level remains stable despite the declining trading activity on the day. The formation indicates the token’s improving technical position.
Source: X
Moreover, another analyst, BitGuru, mentioned that DOGE is currently at the end of the long consolidation phase. Liquidity swept the asset’s price level deeply.
However, the token support level is currently holding. The coin move back to the $0.14-$0.18 level will likely take place as long as buyers remain active.
He also pointed out that confirmation of the breakout through the consolidation will further support the bull case. This level acts as a key trigger.
Source: X
A clean break will further support the continuation of the trend upwards. DOGE is highly volatile in the short term, despite its current stability.
Also Read: Dogecoin Rebounds From Support Zone: Is a Break Above $0.15 Coming?
Open Interest and Volume Decline
According to the data from CoinGlass, the futures volume has decreased by 3.13% to $1.95 billion. The Open Interest has also gone down by 2.68% to $1.12 billion. The OI Weighted Funding Rate is -0.0053%. Futures traders remain slightly tilted to the negative side.
Source: CoinGlass
RSI and MACD Indicate Trend Shift
The Relative Strength Index (RSI) is 43.21%. The current level indicates that DOGE is in the neutral zone. The RSI is rising from the previous lows, which is a positive indicator for the token. The RSI-based Moving Average is located at 36.88.
The Moving Average Convergence Divergence (MACD) is showing early improvements in the trend velocity. The MACD line is at 0.00164, and the signal line is located at -0.00552. The histogram sits at -0.00716, which is showing positive movement.
Source: TradingView
DOGE is consolidating in the current technical setup, which is being monitored by the analysts. The chart has identified the breakout zones. The shift in the volume or sentiment could indicate the next movement in the meme coin price.
Also Read: Solana Bull Flag Expansion Hints at Potential $110 Price Break
