Benzinga – by Melanie Schaffer, Benzinga Editor.
Dogecoin (CRYPTO: DOGE) shot up over 10% at one point during Friday’s 24-hour trading session after the crypto announced its physical representation will be taken to the moon aboard the Peregrine Lunar Lander, owned by space robotics technology company, Astrobotic.
Bullish sentiment rushed into Dogecoin following the news, despite Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) continuing to consolidate mostly flat.
The crypto sector has enjoyed a surge in prices recently, with the Security and Exchange Commission appearing close to approving one or more spot Bitcoin ETFs.
Bitcoin’s and Ethereum’s respective 41% and 38% increases between Oct. 15 and Nov. 9 caused the cryptos to fly into overbought territory on the daily chart, which set Bitcoin and Ethereum into consolidation cycles since that date.
On Friday, the consolidation was taking place in the form of inside bar patterns on the daily chart.
Want direct analysis? Find me in the BZ Pro lounge! Click here for a free trial.
The Bitcoin and Ethereum Charts: Bitcoin and Ethereum’s inside bar patterns lean bullish because the cryptos have been trading mostly higher since Sept. 11.
The consolidation within the inside bars has helped to drop Bitcoin and Ethereum’s relative strength indexes back under the 70% mark, which indicates they are no longer overbought.
While Bitcoin has been trading mostly sideways since Nov. 9, Ethereum entered into a downtrend and has been making a series of lower highs and lower lows. Ethereum’s most recent lower high was formed at the $2,100 mark on Thursday, and the most recent confirmed lower low was printed on Nov. 14 at $1,933.
On Oct. 29, Bitcoin’s 50-day simple moving average (SMA) crossed above the 200-day SMA, which caused a golden cross to form. If Ethereum continues to trade above its 200-day SMA, the 50-day will cross above the 200-day soon, which will give bullish traders more confidence going forward.
Bitcoin has resistance above at $38,105 and at $42,233 and support below at $35,593 and at $31,862.
Ethereum has resistance above at $2,020 and at $2,150 and support below at $1,825 and at $1,717.
The Dogecoin Chart: Dogecoin formed a double bottom at the $0.069 mark on Nov. 9 and Nov. 14 and on Nov. 15, the crypto reacted to the bullish formation and began to rise. On Thursday, Dogecoin regained the eight-day exponential moving average, which is bullish for the short term and if the crypto continues to trade above its 200-day SMA, a golden cross will form on the chart.
Dogecoin is trading in a confirmed uptrend, with the most recent higher high formed on Nov. 11 at $0.082 and the most recent higher high printed at the double bottom level. If Dogecoin closes Friday’s trading session with a significant upper wick, the high-of-day will become the next higher high within the uptrend and the crypto may retrace on Saturday.
Join the millions of people who stay on top of global financial markets with Investing.com.
Bullish traders want to see the crypto form another higher low and then for Dogecoin to continue on its upward trajectory, eventually rising over Friday’s range. Bearish traders want to see big bearish volume come in and knock Dogecoin under the eight-day EMA, which could accelerate downside pressure at least for the short term.
Dogecoin has resistance above at $0.083 and at 9 cents and support below at $0.075 and at the 7-cent mark.
Read Next: From Chaos to Clarity – Experts Agree ‘Bankruptcies Add Resilience’ To The Crypto Industry, Transparency Needed To Forge Investor Trust
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Read the original article on Benzinga