Dogecoin price has extended the weekends gains, even as it lacks enough bullish momentum to break out of the horizontal channel it has been in for over a week now. An attempt to do so earlier on Monday was unsuccessful after the altcoin pulled back upon hitting the prior resistance level of 0.2986. nonetheless, it is still in good shape for a breakout.
Since 30th October, DOGE has been trading within a range of between the psychological level of 0.2500 and the resistance level at 0.2870. At its current price of 0.2872, the bulls are striving for a breakout. Earlier in the day, it hit a high of 0.2980 before pulling back to the aforementioned horizontal channel.
On a two-hour chart, Dogecoin price is trading above the 25 and 50-day exponential moving averages with an RSI of 74. Based on the technical indicators, the altcoin will likely record further gains in the ensuing sessions; resulting in a breakout.
However, in the immediate term, we expect it to experience resistance along the horizontal channels upper border at 0.2870. Past that level, the crypto will be in good shape to rise to its next target at 0.3000. nonetheless, the bulls will need enough momentum to push past the resistance level at 0.2986.
On the downside, a pullback will likely have Dogecoin price finding support along the 25-day EMA at 0.2683. This thesis is valid for as long as the altcoin remains above the crucial support zone of 0.2500.