- Dogecoin Foundation, which was inactive for years, has relaunched its advisory board.
- Dogecoin remains bearish as it dropped and extended its loss for the second consecutive session.
- Forex trading participants will be looking for a buy limit at the $0.2755 level with a target of $0.3110 and $0.3200.
On Wednesday, Dogecoin is trading with a bearish bias at the 0.2945 level. The day before, DOGE/USD closed at $0.299520 after placing a high of $0.339890 and a low of $0.295610. Despite some positive environmental developments, the Dogecoin price prediction remains bearish as it dropped and extended its loss for the second consecutive session.
If you are interested in trading DOGE/USD with forex robots, check out our guide.
BOTS Inc. Announced the Possibility of Purchasing a Second-hand Tesla with Dogecoin
An IT firm from Puerto Rico named BOTS Inc. announced that it would be possible to purchase second-hand Tesla cars with the meme-based cryptocurrency Dogecoin. This statement came just two days after billionaire Mark Cuban said that Dogecoin was the most popular cryptocurrency for payment mechanisms.
There were reports in the market that the management of BOTS Inc. agreed with the beliefs of Mark Cuban and Elon Musk. Dogecoin was the best and most popular cryptocurrency for everyday payments. The company’s management then decided to offer this crypto merchant account service. Thus, it will allow clients to purchase second-hand Tesla cars with Dogecoin and other cryptocurrencies. The management has also revealed plans to provide this cryptocurrency acceptance service to other car manufacturers and dealerships.
This was interesting as Tesla currently does not accept any crypto as payment for its cars. Although it did accept bitcoin as a means of payment earlier this year, for only a few weeks. Later, Tesla halted this service on the grounds of the environmental impact of bitcoin mining operations. This news should have been beneficial for DOGE/USD. Despite this, the cryptocurrency remained under pressure amid the recent market sentiment for the day.
The Dogecoin Foundation Has Relaunched Its Advisory Board
Another news that should have a positive impact on DOGE/USD prices came in the market. The Dogecoin Foundation, which was inactive for years, has relaunched its advisory board. It includes notable names like Tesla CEO, Elon Musk, and the co-founder of Etherum, Vitalik Buterin.
However, this news also failed to provide gains in DOGE/USD prices on Wednesday. Most of the selling trend came amid the pressure from increased prices of the US dollar and the prevailing negative market sentiment kept the cryptocurrency downwards.
The market sentiment turned negative amid the recent warning issued by Fitch, a credit rating agency, against the approval of Bitcoin Law by EL Salvador. Therefore, the agency explained the negative impacts this law could have on the country’s insurance companies, which earned about 21% of the country’s total capital last year. This warning turned the market mood negative and dragged the meme-based cryptocurrency DOGE toward the downside.
Furthermore, the rising prices of the US dollar also added pressure on DOGE/USD as both have a negative correlation. The US dollar was high on board as the US Dollar Index reached 93.17 level ahead of the release of the July meeting minutes from the US Federal Reserve.
Dogecoin Price Prediction- Technical Levels
Support Resistance
0.283456 0.327736
0.267393 0.355953
0.239176 0.372016
Pivot Point: 0.311673
Dogecoin Price Prediction- Technical Outlook: Upward Trendline Breakout at 0.3145
The DOGE/USD price prediction remains bearish as it dropped and extended its loss for the second consecutive session. The closing of 4-hour candles below the 0.3145 level demonstrates a strong bearish bias among investors.
On the 4-hour chart, the DOGE/USD faces support at the 0.2759 level, and the resistance continues to hold around the 0.3110 level. As we can see on the two-hourly timeframes, the DOGE/USD has violated the upward trendline that demonstrates a bearish trend in the Doge. Furthermore, the 50 day EMA (Exponential Moving Average – red line) is holding at the $0.3200 level, and that also demonstrates a selling trend in Doge.
The oscillator tool, the Stochastic RSI, is signaling a selling trend. Therefore, the forex trading participants will be looking for a buy limit at the $0.2755 level to reach the targets of $0.3110 and $0.3200. All the best.
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