Dogecoin reacted lower from the $0.1120 resistance against the US Dollar. DOGE must hold above the $0.080 support to start a fresh rise.

DOGE started a fresh decline from the $0.1120 resistance against the US Dollar. The price is trading below the $0.0950 zone and the 100 simple moving average (4-hours). There was a break below a key uptrend line with support near $0.102 on the 4-hours chart of the DOGE/USD pair (data feed from Kraken). The pair must sustain above the $0.0800 support zone to start a new rise.

Dogecoin price takes a hit

In the past few days, dogecoin experienced a major drop from the $0.1120 resistance zone. DOGE reacted to the downside below the $0.1050 and $0.1000 support levels.

During the dip, there was a break below a key uptrend line with support near $0.102 on the DOGE/USD 4-hour chart. The pair even dipped below the 50% Fib retracement level of the up move from the $0.0713 low to $0.1117 high.

The price is now trading below the $0.0950 zone and the 100 simple moving average (4-hours). It is also showing some bearish signs below $0.0900, bitcoin and ethereum alike.

On the upside, the price is facing resistance near the $0.0915 level. The first major resistance is near the $0.1000 level and the 100 simple moving average (4-hours). More gains above the $0.1000 zone could start a decent rally towards the $0.1080 zone.

Source: DOGEUSD on TradingView.com

The main hurdle seems to be forming near the $0.1120 zone. A clear move above the $0.1120 resistance could open the doors for a rally towards the $0.120 level.

More losses in DOGE?

If DOGE price fails to pick up pace above the $0.0915 level, it could continue lower. An initial support on the downside is near the $0.0865 level.

The next major support is near the $0.080 level. It is close to the 76.4% Fibonacci retracement level of the up move from the $0.0713 low to $0.1117 high. If there is a break below the $0.0800 support, the price could drop further. In the indicated case, the price could fall towards the level of $0.0720.

technical indicators

4 hours MACD – The MACD for DOGE/USD is now gaining momentum in the bearish zone.

4 Hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now in the oversold zone.

Main support levels: $0.0865, $0.0800 and $0.0720.

Main resistance levels: $0.0915, $0.1000 and $0.1120.



This post Dogecoin Price Drops 10%, Is It Time to Buy DOGE on Dips?

was published first on https://newsbtc.com/analysis/dogecoin-price-plunges-0-0865/

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