Dogecoin has dipped into oversold territory on its 4-hour chart, reaching the highest level of selling pressure since February 3. At that time, a quick rebound followed a steep decline, highlighting Dogecoin's capacity for rapid recovery.
Crypto analyst Cas Abbé notes the RSI has reached 30, suggesting selling pressure may have peaked. The cryptocurrency struggled to maintain momentum near $0.28, now trading around $0.25, an area Abbé identifies as having strong historical support.
Abbé attributes negative sentiment towards memecoins to the LIBRA meme coin fiasco and suggests current conditions might offer an appealing accumulation opportunity. He predicts a short-term rise to $0.30, a psychologically significant level, possibly leading to a yearly high.
Past patterns show Dogecoin breaking above descending channels in price, sparking over 150% gains. Abbé sees a similar potential setup forming now, with key resistance around $0.36.
