Dogecoin Has Observed A TD Sequential Sell Signal Recently
As explained by analyst Ali in a new on X, TD Sequential has flagged a sell signal for DOGE. The “Tom Demark (TD) Sequential” here refers to an indicator in technical analysis that’s popularly used for finding points of probable tops and bottoms in any asset’s price.
There are two phases involved in this metric. During the first, candles of the same polarity are counted up to nine, and at the end of these nine candles is a potential reversal point for the asset. This phase is called the “setup.”
Looks like the asset has recently seen nine green candles | Source:As is visible in the graph, the TD Sequential has completed the setup phase on the weekly chart of Dogecoin with green candles recently. This could indicate that the coin may reverse towards a downtrend from here on out. “This comes as DOGE faces a key resistance level that has repeatedly thwarted its climbs in the past,” explains Ali. “A correction could see prices dip to $0.085 or even $0.078.”
The cost basis distribution of the asset | Source:
In on-chain analysis, support and resistance are defined based on the concentration of investors who bought at a particular level. Price ranges hosting the cost basis of many addresses provide strong support/resistance when the asset’s spot price retests them.
The chart shows that the $0.094 to $0.097 range is the strongest support zone for the asset out of all the listed ranges. Dogecoin has declined into this zone recently, so it’s a test of whether on-chain support can hold against the technical sell signal that has recently formed.DOGE Price
At the time of writing, Dogecoin is trading at around $0.096, up 7% in the past week.The price of the asset appears to have seen a dip over the past couple of days | Source: