The value of Dogecoin (DOGE) has recently experienced a downward correction from the $0.180 zone against the US Dollar. After testing the $0.1420 level, DOGE is now in the process of recovering some of its losses. Let’s take a closer look at the current trends and potential future movements of DOGE.
Key Highlights
- DOGE price initiated a new decline from the $0.180 resistance level.
- The price is currently trading below the $0.1650 mark and the 100-hour simple moving average.
- A significant bearish trend line is forming, with resistance at $0.1580 on the hourly chart of the DOGE/USD pair, using data sourced from Kraken.
- The price might embark on a fresh upward movement if it surpasses the resistance levels at $0.1550 and $0.1580.
Dogecoin Price Eyes Fresh Increase
Dogecoin’s price embarked on a fresh decline after failing to breach the $0.180 resistance, a challenge shared with cryptocurrencies like Bitcoin and Ethereum. DOGE slipped below crucial support thresholds at $0.1720 and $0.1650. The descent continued past the $0.1550 mark before bullish activity emerged. A low was registered at $0.1422, sparking an attempt at a recovery wave.
The price has managed to rise above the $0.150 resistance zone, climbing past the 23.6% Fibonacci retracement level of the downward trend from the $0.1790 high to the $0.1422 low. Currently, Dogecoin is trading beneath the $0.1550 mark and remains below the 100-hourly simple moving average. Immediate resistance is located around the $0.1550 level, with a more significant barrier at $0.1580. This is further evidenced by a bearish trend line on the hourly chart of the DOGE/USD pair.
Should the price manage to close above the $0.1580 resistance, it could propel towards the $0.1600 resistance. Continuation of upward momentum might see the price reaching the $0.1650 level or even the 61.8% Fibonacci retracement level, tracing the downward path from the $0.1790 high to the $0.1422 low. The subsequent target for bullish investors may rest around the $0.1720 mark.
Another Decline in DOGE?
In the event that DOGE’s price fails to ascend beyond the $0.1550 level, it could potentially commence another decline. Initial support on the downside appears near the $0.1480 level, followed by a more substantial support level at $0.1420. The primary support base is established at $0.1400, and a breakdown below this point might initiate further declines.
If this bearish scenario unfolds, the price may continue its descent towards the $0.1320 level, or possibly even $0.1300, in the near term. It’s crucial for investors to monitor these support levels closely to anticipate potential market movements.
Technical Indicators
Let’s explore the technical indicators that are currently influencing DOGE’s price action:
- Hourly MACD: The MACD for DOGE/USD is presently losing momentum within the bearish zone.
- Hourly RSI (Relative Strength Index): The RSI for DOGE/USD has climbed above the 50 level, indicating some bullish pressure.
Major Support Levels
- $0.1480
- $0.1420
Major Resistance Levels
- $0.1550
- $0.1580
In conclusion, Dogecoin’s price movements are currently sandwiched between significant support and resistance levels. Investors and traders should remain vigilant, keeping an eye on these technical indicators and levels to make informed decisions. Whether the price will recover or see another decline largely depends on these critical thresholds.
