Bulls produced a spike above the consolidation zone, which could be an entry for traders that are willing to take the risk.
Should the token tap the $0.00560 level, the price of DOGE could fall.
The next few months could see the popular meme coin, Dogecoin (DOGE), be one of the best performers in terms of price gains.
Looking at the third week of June’s trading session, things are looking relatively optimistic for DOGE’s price. On June 10, the meme coin retested the breached Elliott wave trend channel into the $0.05 level. This was followed by considerable sideways price action within this region.
Bulls then produced a spike above the consolidation zone on Tuesday, June 21, which could be an entry for traders that are willing to take the risk.
When looking at the macro perspective, the price of Dogecoin looks set to reach $1.00. This is further corroborated by the volume that has tapered out, a clear divergence appearing on the Relative Strength Index (RSI) indicator, and the fact that the trend channel has been breached.
There are Elliot Wave practitioners who would say that the price action in wave five is usually a replication of the wave one price action in either momentum, time, or both. Should this be the case for DOGE’s price, then the popular meme coin could reach $1.00 by around October this year.
Even though things seem optimistic for DOGE, there is still the real possibility that the price of DOGE could fall into lower targets, such as the $0.02 price level, without invalidating the macros count.
Invalidation of the entire macro count is dependent on the price of DOGE not breaching $0.00560. If this wave one price level were to get tapped, the entire movement would be void.
Disclaimer: The views and opinions expressed in this article are solely the author’s and do not necessarily reflect the views of CoinQuora. No information in this article should be interpreted as investment advice. CoinQuora encourages all users to do their own research before investing in cryptocurrencies.