Dogecoin revised gains and tested the $0.1620 area against the US dollar. DOGE is now forming a base and could start a new hike above $0.1680.
- DOGE price rejected and tested major support at $0.1620.
- The price is trading below the $0.1650 level and the 100-hour simple moving average.
- On the hourly chart of the DOGE/USD pair, there is a major bearish trendline forming at resistance $0.1685 (data source from Kraken).
- The price should stabilize above $0.170 to move into positive territory and start a new surge.
Dogecoin price maintains support
After a steady rise, Dogecoin price faced resistance near $0.1750. A recent swing high was formed at $0.1705 before DOGE began a downward correction like Bitcoin and Ethereum. It fell below the $0.1650 support zone.
A low was formed at $0.1620 and DOGE is now consolidating for the next move. Dogecoin is currently trading below the $0.1650 level and the 100-hour simple moving average. On the other hand, the price is finding resistance near $0.1664. This is near the 50% Fib retracement level of the downward move from the $0.1705 swing high to the $0.1620 low.
The next major resistance is the 76.4% Fib retracement level near the $0.1685 level or a downside move from the $0.1705 swing high to the $0.1620 low. On the hourly chart of the DOGE/USD pair, there is also a major bearish trend line forming with resistance at $0.1685.
A close above the $0.1685 resistance line may cause the price to head towards the $0.1725 resistance line. If more profits are made, the price may drop to the $0.1750 level. The next major stop for the bulls could be $0.1800.
Will there be more losses in DOGE?
If DOGE’s price fails to rise above the $0.1685 level, another decline could begin. Initial support for the downside is near the $0.1620 level.
The next major support is near the $0.1550 level. A break below the $0.1550 support could lead the price to fall further. If indicated, the price may fall to the $0.1520 level.
technical indicators
Hourly MACD – The MACD for DOGE/USD is now losing momentum in bearish territory.
Hourly Relative Strength Index (RSI) – The RSI for DOGE/USD is now below the 50 level.
Key support levels – $0.1620, $0.1550 and $0.1520.
Key resistance levels – $0.1660, $0.1685 and $0.1720.