December’s trading of Dogecoin appears ready to begin within sight of the 22 cents juncture, depending on what unfolds over the next day. Having started November near the 28 cents value, many speculators may claim to be surprised by the decline in DOGE/USD, but the cryptocurrency did see a low of nearly 21 cents on the 12th of October, before a bullish winning streak was produced and a high of nearly 34 cents was seen briefly on the 28th of October.
While DOGE/USD remains a favorite of the speculative cryptocurrency crowd, it has certainly not been able to re-establish the shine it accomplished at the height of its speculative circus when values of nearly 74 cents were achieved in the second week of May this year. On the 28th of November, yes quite recently, Dogecoin came within sight of the 19 cents level. The ability to climb off of this low which tested values last seen in July may make some speculators happy, and others rather uncomfortable.
However, for DOGE/USD to really be able to gain a sense of momentum resistance levels near 27 cents will have to be challenged. Yes, speculative bulls could certainly buy Dogecoin at its current values, use tight stop loss orders and aim for the 24 to 25 cents levels to make a quick profit, but the amount of leverage needed to achieve clear profits also sets the stage for the potential of large losses if DOGE/USD continues to fester within a bearish stance.
Once the darling of social media influencers within the cryptocurrency world, DOGE/USD may be having a difficult time generating the ‘old love’ once felt by its speculative traders who sang the praises. Speculative wagers are now seemingly turning into long standing events in which positions need to be held overnight, which raises the specter of carrying charges by brokerage houses for traders which can become costly.
If DOGE/USD is not able to break above the 26 cents level, something it has not done since the middle of November, negative leanings may continue to build. However, there is certainly the hope by optimists who want to be buyers, that DOGE/USD is mirroring the trading of its major counterparts too and simply experiencing temporary headwinds. Dogecoin is the tenth largest cryptocurrency regarding its current market capitalization.
Dogecoin Outlook for December
Speculative price range for DOGE/USD is between 12 and 33 cents.
If DOGE/USD is not able to muster a buying surge in the next week that challenges resistance near the 25 and 26 cents levels, this may be a negative indicator. Yes, DOGE/USD has been able to stay above the 21 cents level, but it looks rather uncomfortable and if Dogecoin were to fall below the 20 cents ratio, this could set off alarm bells filled with the sound of concern. Sustained trading below 20 cents could mean lower support levels could be tested and it is not out of the question that a strong selling wave could take Dogecoin to depths not seen since July when the 16 cents level came within sight.
Speculative traders who remain optimistic about DOGE/USD or who simply believe that a five cents climb to about 26 or 27 cents is a logical wager cannot be blamed. However, speculators are highly encouraged to use all their risk taking tactics and make sure they are not killed on transaction charges if they need to keep their positions open longer than originally planned. If resistance near 25 and 26 cents is seen, traders may believe the 28 cents mark and potentially even 30 cents are legitimate targets. DOGE/USD does continue to have the capability to move fast and traders should always remain diligent when wagering on the cryptocurrency.
