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Dogecoin Price Analysis 2019 — Is Long-Term Growth Possible?

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Thu, 05/30/2019 - 11:43
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Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of U.Today. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

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Such crypto! Dogecoin was born from a meme first introduced by Shiba Inu. A funny and cute dog touched the hearts of people on the internet so much, that some of them decided to make a currency devoted to it.

Don’t be deceived by the coin’s image. Although it may look like a joke (and initially it was one), Dogecoin is very popular and has one of the most active and supportive communities around it. The user base is one of DOGE’s strongest points and the major driver of growth. People love DOGE and are ready to buy it. Moreover, in some cases, it’s a charity thing. We should also point out that Elon Musk has recently become DOGE CEO, much wow!

DOGE presents a unique blend of value and entertainment, so it looks appealing from an investor’s perspective. Unlike crypto enthusiasts, regular folks don’t know and don’t care about complex tech. However, they are always up for some humor and fun, which may increase the demand times. This is what we will be looking for in today’s analysis. Let’s roll!

Short-term technical analysis of Dogecoin (DOGE)

Like the whole market around it, DOGE severely suffered from the crypto winter. After the recent outbreak on April 4, 2019, the price seems to be back for retesting the previous zone of resistance. It’s also worth noting that at the time of this review the price moves in a falling wedge, which is a bullish pattern.

Although the price seems to be stabilized at the moment, it may experience further decline to the ~0.0025 USD line before bouncing. This is supported by the stoch RSI, which is in an overbought zone. On the other hand, the price just corrected to the 0.618 level of Fib Retracement, and it signals more confidence on the buying side.

DOGE/USDT hourly HitBTC
Image by Tradingview

The daily SMA for 50 and 200 days are converging, which may lead to the formation of a golden cross in the near future that would boost the price higher. However, the price is still struggling to go through EMA for 12 days and the EWO is bearish. A major support may be found on EMA for 26 days, which is a current support zone. Stoch RSI just entered the oversold zone, but it may be there for a while. Overall the short-to-mid price perspectives for DOGE do not look very promising. Many sad!

DOGE/USDT daily HitBTC
Image by Tradingview

Dogecoin Price Prediction for 2019. Is long-term growth possible?

DOGE is a quick player. Looking at its price history we can point out several times when it suddenly reversed with increased trading volume after a prolonged decline. For instance, that’s how it was in August 2014, summer of 2015, and summer of 2017.

It’s been more than a year since Bitcoin and altcoins set their ATH, and they have been falling down before this April’s bounce. Along with the market, DOGE is trying to recover, but the technicals and the volume aren’t yet there to support the trend. To find out whether another big move is coming for Dogecoin, we need to zoom out and take a look at the entire altcoin market’s performance.

Like the traditional market, the cryptocurrency one moves through the same boom & bust cycles, except for it does it much faster. There’s no surprise in the fact that phases of each cycle are getting longer with the time, as the market becomes bigger, therefore less easy to move. We’ve noticed that after each bubble’s burst the prices in crypto return reset the gains after a so-called ‘dead cat bounce’ before they enter the accumulation phase followed by a new cycle. It’s also worth noting that the last upward trend of 2017 and the beginning of the current one for DOGE has a lot in common. This comes to similarities in Relative Strength Index and timeframes.

Although timeframes of the crypto bubbles vary, we can make a projection based on historical data. If we divide the DOGE graph into two parts: August 2014 - May 2015 & December 2018 - February 2019, we can find interesting similarities. After a quick rise within one month in both cases, there was an extended meltdown of the price. Hence, we can imply that the price action for DOGE after this February should resemble that of the period after May 2015.

Now, if our projection is correct, we can apply it to DOGE’s price history and calculate its price towards the end of 2019 more precisely. Considering that in August 2018 DOGE went as high as ~2.5x from its previous low, we can assume that we should see at least ~2.5x increase by December 2019, which is roughly 0.7 cents. Moreover, around September 2019 the price should establish a new ATH at about 5.5 cents considering the ratios.

DOGE/USDT weekly HitBTC
Image by Tradingview

Does DOGE have anything except for the technicals?

This wouldn’t be a case with other projects out there with their whitepapers and teams. DOGE is a different beast (though a very cute one), so many of the investors may even ignore the coin’s fundamentals for the wrong reason.

DOGE has three major fundamental factors that keep it afloat and rising: utility value, exchange value, and brand image. When you come to think about a crypto meme coin, you definitely don’t expect it’s capitalization to be so high that it ranks 25 on the CoinMarketCap out of more than 2000 projects. This reflects that the user base is well developed.

Similar to a plethora of other P2P currencies, DOGE’s intended purpose is to transfer value between people. For example, it was once used for tipping. Another instance would be charity; the first case for DOGE-based donations helped the team from Jamaica take part in the Olympic Games of 2014. Such use cases take the coins out of the circulating supply on the spot market, driving the price up.

Dogecoin
Image by 123rf

In our fast-paced world with clip mindset getting a brand image is crucial for any business. People quickly switch between the products and forget what was there before. Fortunately for Dogecoin, it was initiated exactly because of society’s interest. DOGE doesn’t need a marketing team to promote itself, the memes on the internet are doing it for free every day while rewarding their creators with a sense of fulfillment and joy. It may sound bizarre to some old-school businessmen out there, but in the 21st century, the content matters and viral content pays off huge amounts of money. DOGE nails the concept of virality, which brings it to the ever-spinning circle of marketing that inspires more marketing. As a result, more users are attracted to the coin every day, which is positive for the demand.

Serious perspectives for a funny coin

To sum up, DOGE is an interesting phenomenon of the young decentralized economy. It displays how something could be valued just because people believe it has value. After all, that’s what we do with fiat currencies.

The correlation of Bitcoin and altcoins on the market is still very high, so in order for DOGE to grow, BTC price needs to be in a certain state. That being said, it looks like the crypto spring is coming and we may see positivity returning to the market. Taking into account our analysis for 2019, you may want to look at DOGE more closely, as the history of its price action shows that it can reward its holders.

Very currency, much coin!

About the author

Anton Tarasov (aka Eric Croix) is a blockchain evangelist that loves analyzing things on a deeper level. Having a Bachelor’s Degree in Business Administration, he believes that decentralization can reshape the global economy and give birth to new types of organizations. He is passionate about the crypto market and the tech behind it.

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2019 Tron (TRX) Price Analysis and Forecast for 2020 [Key Levels & Trends]

Cryptocurrency Trading
Wed, 09/25/2019 - 11:18
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crypto to
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Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of U.Today. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Contents

At first glance, cryptocurrency Tron doesn’t have the task of changing the world we know. But the idea of ​​TRX has enough interest to live — creating a decentralized environment in which users can make and host entertainment content. And, it would seem, the concept sounds twofold, but for almost 2 years now Tron has been living and developing. And what awaits the crypto next? Let's see!

TRX coin

The main coin of Tron — TRX, the total issue of which is 100 billion coins. At present, the capitalization of the altcoin is $2.2 billion. With this indicator, Tron takes the 12th place in the crypto market. More tokens will not be released, one and most of the existing ones are in the hands of Tron developers. This fact raises some doubts in crypto holders ranks. However, Tron has qualitative differences from many cryptocurrencies:

  • Scalability.

  • High bandwidth.

  • Availability.

  • Justin Sun.

On the last character, we should put special emphasis. Justin Sun is Tron’s founder and an important figure in the crypto investing world. It’s impossible not to note the marketing ability of Sun, who skillfully promotes Tron in all imaginable and unthinkable ways. We will talk about them separately.

In general, investing in Tron seems like a pretty promising path today. Consider historical price changes, analysis and the impact of other sources on the TRX rate.

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Historical changes in the price of Tron

Analysis and forecast of TRX price should start with a look at the historical data. Tron is a fairly young cryptocurrency, created at the end of 2017, and the network itself was launched only in the middle of 2018. Tron price in the background of all events changed as follows:

  1. At the time of creation, at the ICO stage, the price was $0.002.

  2. After the token release, the price rose to $0.05 in December 2017.

  3. The historical maximum was reached at the beginning of January 2018 and amounted to $0.25 for 1 Tron coin.

  4. After a while, the price dropped to a value of $0.03-0.04.

  5. In early May, after the network launch, the price soared to a mark of $0.08, followed by a prolonged fall.

  6. The minimal Tron price was fixed in December 2018, then the coin is worth $0.011.

Today, after two phases of growth, Tron is trading in the region of $0.033 for one TRX token. The growth of an investing crypto asset cannot be called explosive, but a positive movement is can be observed.

News background

In Tron’s case, the most important thing is playing the news background. Justin Sun is trying in every way to create hype around his brainchild. One of these steps is to purchase the right to dine with the investing legend — Warren Buffett. Sun gave $4.5 million for this opportunity. Even this news increased the price of his crypto.

Later in the summer of 2019, the SUN Network is scheduled to launch, news about which is already actively appearing in many sources. It’s worth noting also one of the latest popular news from Tron. TRX will become the official cryptocurrency to pay at IEOs on the Latoken platform, which should qualitatively affect the liquidity and Tron price.

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Tron analysis and forecast from experts

Tron, like many altcoins, is not explosively popular with experts. Forecasts and analyses collect hundreds, but not thousands of views. However, almost every day you can find interesting thoughts and forecasts about the future of Tron. Here are some of them.

The user Cryptotrader_123 believes that the TRX chart is bullish and predicts explosive growth after the pattern is completed. Following its trend line, growth will continue, but a correction is possible in the near future. However, step by step, Tron will take its own.

TRX price forecast by Cryptotrader_123
Image by TradingView

According to user the_booty analysis, investing in Tron can be good in marked areas. The user advises to open long positions and keep the crypto. To a greater extent, he predicts an increase in the price of Tron, but key levels in the situation with a fall are also noted.

Tron price analysis by the_booty
Image by TradingView

User SajjadMazroei built his analysis on triangles. In his opinion, a small one appears inside the bigger one. He predicts such developments in the coming months:

  1. If the small triangle is broken down, the price may drop to $0.026, but then recover to $0.031.

  2. If TRX breaks up, we can expect a price of $0.04.

  3. And if the movement is really strong, then it’s possible to conquer the height of $0.055.

Analysis of TRX charts by SajjadMazroei
Image by TradingView

We remind you that these are just opinions and you need to understand everything yourself.

Tron price forecast for 2020

We have our own thoughts and forecasts for Tron’s price for the second half of 2019. The technical characteristics of Tron are quite controversial. Oscillator analysis indicates the need to sell existing assets while moving averages indicate a strong buy. We believe that the truth is somewhere in the middle. Both price reduction and growth are possible.

Analysis of Tron price charts
Image by TradingView

We predict that the decisive factor will be the full launch of SUN Network, which is scheduled for August 10. The upgrade involves solving many problems with the scalability, bandwidth and protection level of dApps.

Analysis of the trend line shows that it is ascending, so you should not expect a noticeable decline in the price of Tron. Before the launch of SUN Network, the price is unlikely to surpass the $0.04 mark, but it’s not worth waiting for a fall below the $0.029 mark.

Any dramatic changes will be caused by the movement of Bitcoin and the mood in the crypto market. Tron isn’t an exception, it’s also dependent on the movements of BTC, like any other altcoin. With a positive scenario, it’s possible to predict that by the end of 2019 the price of TRX will reach $0.05. Growth beyond this mark is possible but unlikely. The bottom price is unlikely to be below $0.022, that is, in the worst case, roll back to the values of 2018.

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Conclusion

As an investing crypto asset, Tron seems pretty promising. The probability of losing money by investing in it is insignificant, but the altcoin may not bring much profit. We hope our forecast will help you make the right decision. Last piece of advice — follow the news around Tron, as it is the most important factor.

About the author

Starting with a simple interest in cryptocurrency, over the past two years, Denis has worked in a cryptocurrency fund and become an author with an analytical bias. His engineering degree helps with the analysis of the technical part of the cryptocurrency market. As a fan of cryptocurrency, Denis believes that the blockchain technology is the future.

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