Bitcoin, Ethereum and Dogecoin Provide Trading for Bulls and Bears as This Key Trend Confirms – Dogecoin – United States Dollar ($DOGE)

Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH) and dogecoin (CRYPTO: DOGE) are trading higher in strong uptrends. An uptrend occurs when a stock consistently makes a series of higher highs and higher lows on the chart.

Higher highs indicate bulls are in control, while intermittent higher lows indicate periods of consolidation. Traders can use moving averages to help identify an uptrend, with rising lower-term moving averages (such as the eight-day or 21-day exponential moving averages) indicating that the stock is in a short-term uptrend and rising long-term moving averages (such as the 200-day simple moving average) indicating a long-term uptrend.

A stock usually signals when the higher high is printing a reversal candle, such as a doji, bearish candle, or hanging man candle. Likewise, the higher low can be signaled when a doji, morning star, or hammer candlestick is printed. Also, the highest highs and lows often occur at resistance and support levels.

In an uptrend, the “trend is your friend” until it isn’t, and in an uptrend, there are ways for both uptrend and downtrend traders to participate in the action:

  • Bullish traders who are already holding a position in a stock can feel confident that the uptrend will continue unless the stock hits a lower low. Traders looking to take a position in a stock trade in an uptrend can often find the safest entry at the higher low.
  • Bearish traders can enter the trade on the higher high and exit on the retracement. These traders can also enter when the uptrend breaks out and the stock makes a lower low, indicating that a reversal to a downtrend may be on the cards.
  • See also: Ethereum Classic soars in reaction to key pattern, miners gain interest: is a golden cross on the way?

The Bitcoin chart: Bitcoin reversed into an uptrend on March 14 and March 16, the cryptocurrency broke away from a descending channel pattern on the daily chart. The most recent high was printed on March 18 at $40,130 and if the cryptocurrency continues to trade above the level, the uptrend will remain intact.

  • On Sunday, Bitcoin appeared to be printing another higher low under a resistance level at $42,223. Traders and investors can expect the cryptocurrency to hold above the eight-day exponential moving average (EMA) in the retracement for confidence in the future.
  • The pullback on Sunday was taking place on below-average volume, which is a positive sign for the bulls. By late afternoon, Bitcoin volume was at around 6,075 compared to the 10-day average volume of 15,176. When a security moves down in below-average volume, it indicates that healthy consolidation is taking place.
  • Bitcoin has resistance above the $42,223 level at $45,814 and $48,475 and support below it at $39,600 and $38,105.

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The Ethereum chart: Like Bitcoin, Ethereum reversed into a possible uptrend on March 14 and exited a descending triangle the next day. Ethereum did not print a higher low to confirm the trend, but it may be printing one on Sunday.

  • Ethereum may also be settling into a bullish flag pattern on the daily chart, with the pole formed between the 14th and 18th of March and the flag starting to form over the days since then. The measured movement of the pattern, if the bullish flag is recognized, is around 18%, which indicates that Ethereum can trade towards the $3,300 level.
  • Ethereum has resistance above $2,890 and $3,057 and support below $2,609 and $2,461.

eth_mar._20.png

The Dogecoin chart: Dogecoin reversed to an uptrend on March 14 and formed its most recent low at the $0.114 level on Friday, and its most recent high was printed on Saturday at $0.125.

  • Like Bitcoin and Ethereum, Dogecoin could be printing its next higher low on Sunday. Alternatively, Dogecoin may drop lower on Monday to test the upper descending trendline of a falling channel pattern that the cryptocurrency broke higher on Saturday.
  • If Dogecoin holds above the pattern and forms a bullish reversal candlestick on Monday, it can give traders who are not yet in position a solid entry point.
  • Dogecoin has resistance above $0.135 and $0.146 and support below $0.106 and the important psychological level of 10 cents.doge_mar._20.png

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