Dogecoin Price Prediction: Doge Rally Faded But Not Likely Over
Dogecoin rallied over 25% and cleared the $ 0.090 resistance against the US Dollar. DOGE is correcting gains and might find fresh bids near the $ 0.088 support.
- DOGE gained pace and traded above the $ 0.090 resistance against the US dollar.
- The price is trading well above the $ 0.085 zone and the 100 simple moving average (4 hours).
- There is a key bearish trend line forming with resistance near $ 0.094 on the 4-hours chart of the DOGE/USD pair (data source from Kraken).
- The pair could start a fresh increase if there is a clear move above $ 0.0940.
Dogecoin Price Trims Gains
After Twitter’s logo change, Dogecoin’s price saw a strong upward move from the $ 0.0750 support. DOGE outperformed Bitcoin and Ethereum. It rallied over 25% and cleared many hurdles near $ 0.0850.
The bulls were able to pump the price above the $ 0.090 resistance. Finally, the price spiked above $ 0.10 and traded to a new monthly high at $ 0.1051. Recently, there was a downside correction below the $ 0.1000 level.
DOGE’s price declined below the $ 0.095 level. The price tested the 50% Fib retracement level of the recent rally from the $ 0.0765 swing low to the $ 0.1051 high. It is now consolidating gains well above the $ 0.085 zone and the 100 simple moving average (4 hours).
On the upside, the price is facing resistance near the $ 0.0940 level. There is also a key bearish trend line forming with resistance near $ 0.094 on the 4-hours chart of the DOGE/USD pair.
Source: DOGEUSD on TradingView.com
The first major resistance is near the $ 0.095 level. A clear move above the $ 0.095 resistance might send the price toward the $ 0.100 resistance. Any more gains might send the price toward the $ 0.105 level. A clear move above the $ 0.105 resistance could open the gates for an increase toward the $ 0.12 level.
Dips Supported in DOGE?
If DOGE’s price fails to gain pace above the $ 0.095 level, it could continue to move down. Initial support on the downside is near the $ 0.0905 level.
The next major support is near the $ 0.085 level or the 76.4% Fib retracement level of the recent rally from the $ 0.0765 swing low to the $ 0.1051 high. If there is a downside break below the $ 0.085 support, the price could decline further. In the stated case, the price might decline toward the $ 0.075 level.
Technical Indicators
4 Hours MACD – The MACD for DOGE/USD is now losing momentum in the bullish zone.
4 Hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Major Support Levels – $ 0.090, $ 0.085, and $ 0.075.
Major Resistance Levels – $ 0.0940, $ 0.0950, and $ 0.100.