Crypto Analyst Issues Dogecoin Warning, Says DOGE Breakout Is Postponed After Complicated Weekly Close

October 31, 2023

A closely followed crypto strategist is warning that Dogecoin (DOGE) may be on the verge of a deep pullback after failing to take out a key resistance level.

Pseudonymous analyst Rekt Capital tells his 363,900 followers on the social media platform X that Dogecoin respected its multi-month diagonal resistance last week.

According to the trader, DOGE’s price action last week suggests that the memecoin is positioned to fall to its support at around $0.053.

“Complicated weekly close for Dogecoin.

[Weekly] close occurred below the channel top resistance.

This means that the DOGE breakout is postponed.

Previous weekly closes like this -> downside

However, if DOGE can hold the highs and reclaim the channel top as support – there may still be a chance.”

Looking at the trader’s chart, it appears that DOGE needs to convert resistance at $0.07 into support on the weekly chart to confirm the channel breakout.

At time of writing, DOGE is trading for $0.0697.

The crypto strategist is also watching the price action of Ethereum (ETH). Rekt Capital says that Ethereum looks primed for a rally after flipping resistance at $1,600 into support.

“Forming a range between orange support and green resistance.

Since BTC broke out from its own re-accumulation range…

Perhaps ETH should be next.”

At time of writing, ETH is worth $1,813.

The last altcoin on the trader’s radar is the decentralized machine learning network Fetch.ai (FET). Rekt Capital says that FET will likely witness a bullish continuation if it stays above its monthly support at $0.3633.

“+77% rally…

Revisited black and even pressing beyond it.

Black needs to hold as support if FET is to rally higher (yellow circle).”