Dogecoin (CRYPTO: DOGE) was trading almost 8% lower on Saturday as the crypto continued to break down bearishly from a symmetrical triangle, which Benzinga pointed out on Wednesday.
The move lower was exaggerated, compared to Bitcoin (CRYPTO: BTC), which was sliding about 2% lower but in line with Ethereum (CRYPTO: ETH), which was also falling about 8%.
Traders and investors looking for weekend signals on the direction of the general markets for next week will be taking note of the bearish price action in the crypto sector, because the stock market and apex and popular cryptos have been trading in tandem lately.
The general markets have taken a beating recently and the Federal Reserve’s inability to tackle soaring inflation so far has spooked investors of stocks and, seemingly, cryptos alike.
Dogecoin’s bearish break has set the crypto into a confirmed downtrend. A downtrend occurs when a stock consistently makes a series of lower lows and lower highs on the chart.
The lower lows indicate the bears are in control, while the intermittent lower highs indicate consolidation periods.
Traders can use moving averages to help identify a downtrend, with descending lower timeframe moving averages (such as the eight-day or …
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