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Dogecoin (DOGE) Poised for a Move: Will It Start a Fresh Increase?
Dogecoin started a downside correction from the $0.180 zone against the US Dollar. DOGE tested $0.1420 and is currently recovering losses.
- DOGE price started a fresh decline from the $0.180 resistance level.
- The price is trading below the $0.1650 level and the 100-hourly simple moving average.
- There is a key bearish trend line forming with resistance at $0.1580 on the hourly chart of the DOGE/USD pair (data source from Kraken).
- The price could start a fresh increase if it clears the $0.1550 and $0.1580 resistance levels.
Dogecoin Price Eyes Fresh Increase
Dogecoin price started a fresh decline after it failed to clear the $0.180 resistance like Bitcoin and Ethereum. DOGE declined below the $0.1720 and $0.1650 support levels.
The price even declined below $0.1550 before the bulls appeared. A low was formed at $0.1422 and the price is now attempting a recovery wave. There was a move above the $0.150 resistance zone. The price climbed above the 23.6% Fib retracement level of the downward move from the $0.1790 high to the $0.1422 low.
Dogecoin price is now trading below the $0.1550 level and the 100-hourly simple moving average. Immediate resistance on the upside is near the $0.1550 level. The next major resistance is near the $0.1580 level. There is also a key bearish trend line forming with resistance at $0.1580 on the hourly chart of the DOGE/USD pair.
A close above the $0.1580 resistance might send the price toward the $0.1600 resistance. Any more gains might send the price toward the $0.1650 level or the 61.8% Fib retracement level of the downward move from the $0.1790 high to the $0.1422 low. The next major stop for the bulls might be $0.1720.
Another Decline In DOGE?
If DOGE’s price fails to climb above the $0.1550 level, it could start another decline. Initial support on the downside is near the $0.1480 level. The next major support is near the $0.1420 level.
The main support sits at $0.1400. If there is a downside break below the $0.1400 support, the price could decline further. In the stated case, the price might decline toward the $0.1320 level or even $0.1300 in the near term.
Technical Indicators
Hourly MACD – The MACD for DOGE/USD is now losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Major Support Levels – $0.1480 and $0.1420.
Major Resistance Levels – $0.1550 and $0.1580.
