Dogecoin fell towards the $0.2620 support level against the US Dollar. DOGE is currently recuperating from its losses and may gain momentum if it surpasses the $0.3350 resistance.
- DOGE price initiated a recovery trend above the $0.30 threshold.
- The price is currently above the $0.320 level and the 100-hour simple moving average.
- A breakout occurred above a connecting bearish trend line with resistance at $0.3120 on the hourly chart of the DOGE/USD pair (data sourced from Kraken).
- The price could gain strength if it breaks through the $0.3350 and $0.350 resistance levels.
Dogecoin Price Bounces Back
Dogecoin price began a new decline from significantly above $0.3550 similar to Bitcoin and Ethereum. DOGE dropped below the $0.3350 and $0.320 support levels, even briefly falling below $0.280.
A low was recorded at $0.2613, and the price is currently recovering losses. It regained some points and climbed past the $0.300 mark, testing the 23.6% Fib retracement level of the downward movement from the $0.4095 swing high to the $0.2613 low.
A breakout occurred above a connecting bearish trend line with resistance at $0.3120 on the hourly chart of the DOGE/USD pair. Dogecoin price is now trading above the $0.320 level as well as the 100-hourly simple moving average.
Immediate resistance on the upside is situated close to the $0.3350 level. The first significant resistance for the bulls may lie around the $0.3520 level or the 61.8% Fib retracement level of the decline from the $0.4095 swing high to the $0.2613 low.
The subsequent major resistance is located near the $0.3750 level. A close above this resistance could propel the price toward the $0.3880 resistance. Any further advances may push the price towards the $0.40 threshold, with the next significant target for the bulls potentially being $0.4120.
Is Another Decline Possible for DOGE?
If DOGE’s price is unable to rise above the $0.3350 level, it may commence another downward trend. The initial support on the downside is close to the $0.30 mark, with the next significant support near $0.2850.
The primary support stands at $0.2620. Should a downside breach below this support occur, the price could descend further. In such a scenario, the price might decrease towards the $0.250 level or even $0.2320 in the short term.
Technical Indicators
Hourly MACD – The MACD for DOGE/USD is currently gaining momentum in the positive zone.
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is presently above the 50 threshold.
Key Support Levels – $0.3000 and $0.2850.
Key Resistance Levels – $0.3350 and $0.3500.