Dogecoin fell towards the $0.2620 support level against the US Dollar. DOGE is now recovering its losses and may gain momentum if it crosses the $0.3350 resistance level.
- DOGE price started a recovery wave above the $0.30 level.
- The price is trading above the $0.320 level and the 100 hourly simple moving average.
- There was a break above the downtrend line connected with resistance at $0.3120 on the hourly chart of the DOGE/USD pair (data source from Kraken).
- The price could gain momentum if it crosses the $0.3350 and $0.350 resistance levels.
Dogecoin price is recovering
Dogecoin price started a new decline from a level well above $0.3550 like Bitcoin and Ethereum. DOGE was trading below the $0.3350 and $0.320 support levels. It even rose to below $0.280.
The bottom was formed at $0.2613 and the price is now recovering from its losses. It recovered some points and rose above $0.300. It tested the 23.6% Fibonacci retracement level of the downward move from the high of $0.4095 to the low of $0.2613.
There was a break above the solid downtrend 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 and the 100 hourly simple moving average.
Immediate resistance on the upside is near the $0.3350 level. The first major resistance for the bulls could be near the $0.3520 level or the 61.8% Fibonacci retracement level of the downward move from the $0.4095 high to the $0.2613 low.
The next major resistance is near the $0.3750 level. A close above the $0.3750 resistance level could send the price towards the $0.3880 resistance level. Any further gains could send the price towards the $0.40 level. The next major stop for the bulls could be $0.4120.
Another dip in DOGE?
If DOGE price fails to rise above the $0.3350 level, it may start another decline. Initial support on the downside is near the $0.30 level. The next major support is near the $0.2850 level.
The main support is located at $0.2620. If there is a bearish breakout below the $0.2620 support level, the price could fall further. In the mentioned case, the price may fall towards the $0.250 level or even $0.2320 in the near term.
Technical indicators
Hourly MACD – The MACD for DOGE/USD is now gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Key support levels – $0.3000 and $0.2850.
Key resistance levels – $0.3350 and $0.3500.