Dogecoin (DOGE) Price Reflex Recovery From Monday's Drastic Crash Struggles to Maintain Momentum

Gaming is Coming on Dogecoin According to a post by Jordan Jefferson, the founder and CEO of the Dogecoin wallet MyDoge, gaming will soon launch

Dogecoin (CRYPTO: DOGE) price showed little reaction Monday after revealing plans to launch a Web3 gaming community, despite the news hinting at a possible recovery from last week's downturn.

Gaming Coming To Dogecoin, Shib Army Can Join In: MyDoge CEO

Dogecoin wallet MyDoge founder and CEO Jordan Jefferson unveiled plans to launch gaming on the largest meme coin network. In a surprising turn of events, lead Shiba Inu developer Shytoshi Kusama took a jab at the upcoming Web3 game, highlighting the Shiba Eternity game in the SHIB ecosystem. Nevertheless, Jefferson stated that "both communities can battle in this game across both chains."

“Shiba gaming community can join in on this game & both communities can battle in this game across both chains. Both tokens will be used in the game & both communities will be able to integrate into the game & build together on both chains & both tokens & both communities.”

Laughs in Shiba Eternity

https://t.co/LVRpCAhIrH

— Shytoshi Kusama™ (@ShytoshiKusama) August 9, 2024

Dogecoin's entry into web3 gaming may boost the token's utility, despite Kusama 'laughing' at the idea. Similar to Shiba Eternity, the new game on the network will increase demand for DOGE, which has been struggling to stay above the recently reclaimed $0.1 support level.

Dogecoin Price Risks A 23% Drawdown

Dogecoin price holds above minor support at $0.1 following an upswing from $0.08 and a rejection at $0.108. While bulls aim to push DOGE towards the next target at $0.2, a death cross pattern on the daily chart suggests that downside risks are still evident.

A death cross pattern occurs when a shorter-period moving average, such as the 50-day EMA in Dogecoin's case, crosses below a longer-period one, like the 200-day EMA, indicating potential bearishness.

Traders may interpret this as a sell signal or tighten stop-loss orders as long as they can validate the bearish thesis using other indicators.

The Moving Average Convergence Divergence (MACD) has not recovered from the recent sell signal, which may be putting pressure on Dogecoin price.

The above is the detailed content of Dogecoin (DOGE) Price Reflex Recovery From Monday's Drastic Crash Struggles to Maintain Momentum. For more information, please follow other related articles on the PHP Chinese website!