DOGE/USD has produced a powerful dose of consolidation the past five days of trading, as it has essentially lingered within the 8 cents framework.

Once one of the favorite speculative cryptocurrencies in the world, Dogecoin has seen a strong dose of consolidation displayed within its trading sphere the past handful of days.  The 8 cents price has seen an array of values above this ratio since the 19^th of May, but DOGE/USD has not been below the 0.0814 mark or above the 0.08882 levels since then. Traders who are die-hard speculators have been drawn to Dogecoin the past couple of years because it has provided plenty of volatility to bet on.

The long term bear cryptocurrency market has pushed DOGE/USD to long term lows and its trading volume is diminishing in overall numbers.  Dogecoin is trading at one year lows and if a sudden burst of selling were to develop it could find that a sincere test of values from April and March of 2021 could be displayed.

The broad cryptocurrency market remains troubling regarding its nervous sentiment.  However, Dogecoin’s major counterparts have seen reversals ebb and flow. Yes, the trading in DOGE/USD as it moves within the 8 cents juncture does produce large percentage changes of 10% within a blink of an eye, but the lack of a real move towards the 9 cents level the past couple of days may be troubling regarding sentiment in Dogecoin. Traders need to take into consideration the fees they pay for speculating on DOGE/USD, and calculate if the winnings from short term trades equate into gains after transaction fees are charged.

While a large amount of nervous sentiment remains in the broad crypto market, this may signal less people are willing to speculate on DOGE/USD, which could mean it will remain in a consolidated mode. If DOGE/USD fails to lift higher when reversals are seen in the broad crypto market, even for a short duration, this could signal traders are being cautious with Dogecoin and expect another selloff to develop technically.

If DOGE/USD were to fall below the 0.0835 mark, this would be a negative sign short term. Speculators need to use their risk management wisely when trading DOGE/USD. The consolidation within Dogecoin could evaporate quickly.

Cautious traders who remain skeptical of the current trading conditions in the cryptocurrency market and believe more selling will be seen may want to be sellers of DOGE/USD. Looking for upside price action towards nearby resistance levels like the 0.0873 mark and then launching ‘short’ positions while aiming for support below could be the correct bet within Dogecoin in the short term.

Dogecoin Short-Term Outlook

Current Resistance: 0.08710000

Current Support: 0.08430000

High Target: 0.08880000

Low Target: 0.08230000

USDT/USD has traded in its typical tight range the past five days, achieving a high on the 1^st of April and then having reversed slightly lower

USDT/USD looks like it remains in its regular tight range as Tether serves as a ‘stable coin’ for the broad cryptocurrency market. With its price hovering fractionally higher and sometimes traversing incrementally lower, there is not much volatility and day traders could frankly become bored to tears trying to pursue the important digital asset as a wager.

On the 1^st of April, USDT/USD moved up to the almost remarkable price of 1.0006000 and has since traded lower.  The price of Tether as of this writing is near the 1.00020000 level as USDT/USD continues to trade slightly above its 1.00000000 ratio which serves as its ‘cornerstone’ regarding its ‘promise’ to work as a stable coin in the volatile world of cryptocurrency, thus providing ‘assured’ value.

However, and very curiously, the Wall Street Journal published an article this weekend that states there is ‘known’ short selling activity being reported in USDT/USD by some large hedge funds. The article in the WSJ states that some investors feel the value of Tether is prone to a potential loss of value because of rather less than transparent financial infrastructure.

Tether has a history of having its value questioned before, in fact its parent company was taken to court in the U.S by regulators who questioned the financial accounting of the company and a fine was issued.   However, USDT/USD continues to tread the 1.00000000 ratio very comfortably and as pointed out above only a few days ago managed a rather polite high. Speculators who participate in USDT/USD need to have patience and the ability to absorb the potential costs via their transactions, which could outweigh the benefits of profits being made by trading Tether. Wagering on USDT/USD should be done by experienced traders who can manage their risk and leverage well. The question of stamina is also vital, because if a trader wants to pursue a position which tries to mirror a hedge fund, timeframes will be much longer than a mere near term trade.

Traders who want to wager on downside price action in USDT/USD today potentially being created because of the possible noise the Wall Street Journal article published yesterday cannot be blamed. However, speculators should note that negative shadows regarding news have had little effect on USDT/USD in the past, and this time may prove to be no different in the short term. If a speculator chooses to sell USDT/USD they should buy near perceived resistance levels and use strict price orders for take profit targets.

Current Resistance: 1.00041000

Current Support: 1.00020000

High Target: 1.0050000

Low Target: 0.99990000