Dogecoin corrected gains and tested the $0.150 area against the US dollar. DOGE is now forming a base and may start a new increase above $0.1520.
- DOGE price jumped towards $0.160 before correcting gains.
- The price is trading above the $0.150 level and the 100 hourly simple moving average.
- There is a major uptrend line forming with support at $0.1485 on the hourly chart of the DOGE/USD pair (data source from Kraken).
- The price must settle above $0.1540 to move into positive territory and start a new rise.
Dogecoin price maintains support
After a steady increase, Dogecoin price faced resistance near the $0.160 area. The high was formed at $0.1594 before DOGE started a downward correction like Bitcoin and Ethereum. There was a decline below the $0.1540 support area.
The bottom was formed at $0.1488 and DOGE is now consolidating for the next move. Dogecoin is still trading above the $0.150 level and the 100 hourly simple moving average. There is also a major uptrend line forming with support at $0.1485 on the hourly chart of the DOGE/USD pair.
On the upside, the price is facing resistance near the $0.1515 level. It is close to the 23.6% Fib retracement level of the downward move from the swing high of $0.1594 to the swing low of $0.1488.
The next major resistance is near the $0.1540 level or the 50% Fib retracement level of the downward move from the $0.1594 high to the $0.1488 low. A close above the $0.1540 resistance level could send the price towards the $0.160 resistance level. Any further gains may push the price towards the $0.1650 level. The next major stop for the bulls could be $0.1720.
More losses in DOGE?
If DOGE price fails to rise above the $0.1540 level, it may start another decline. Initial support on the downside is near the $0.150 level and trend line.
The next major support is near the $0.1445 level. If a bearish breakout occurs below the $0.1445 support level, the price could fall further. In the mentioned case, the price may fall towards the $0.1350 level.
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.
Key Support Levels – $0.1500, $0.1445, and $0.1350.
Major resistance levels – $0.1515, $0.1540, and $0.1600.
