As the crypto market has succumbed under the pressure of rising war tensions, the Dogecoin price has not been left out of the onslaught. Over the weekend, the meme coin saw an over 5% decrease as it broke below the critical $0.16 level, and is seemingly in free fall. This has naturally led to panic among investors, leading to more sell-offs in the market. Amid this, a crypto analyst has revealed the best time to buy DOGE.
When Is The Best Time To Buy Dogecoin?
The Dogecoin price has already fallen to the $0.15 territory and continues to trend low after the market crash. Despite this decline, a pseudonymous crypto analyst on the TradingView website has said that this is still not the time to buy. The reason behind this is that the meme coin’s price still has a long way to go before it is done crashing.
From here, the crypto analyst still expects the Dogecoin price to fall by another 10%, and that would send it back to the $0.13 level. The analyst explains that investors should first wait for the digital asset to actually approach this area of interest. The why behind this is that the range support has been aligning here with the weekly support, and this has led to a strong confluence zone for a potential entry.
Due to this formation, it makes it anywhere in the $0.13 range to start buying the meme coin. Furthermore, with the support forming at this level and a lot of liquidity expected to flow in, the Dogecoin price could see a major bounce from this buy zone.
As the analyst points out, it is possible that the Dogecoin price will almost double from the buy zone. A target of $0.25 means an over 90% increase in price by the third quarter of the year, putting investors back in the green once again.
Declining Volume Supports Further Decline
Alongside the steady decline in the price, there has also been a steady decline in the Dogecoin daily trading volume. Looking at historical performance on the Coinglass platform, it supports the expectations that the Dogecoin price will continue to fall from here.
In the month of June, the DOGE daily trading volume has seen a notable decline from its $5.1 billion highs to below $3 billion on average. If the market decline does continue , then it is possible that this figure would end up falling below $2 billion before the month is over, and could inadvertently see DOGE go back toward $0.13.
Featured image from Dall.E, chart from TradingView.com
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