Dogecoin is recovering higher from $0.1220 against the US Dollar. DOGE must clear the $0.1650 resistance to start another increase toward $0.200.
- DOGE declined heavily and tested the $0.1220 support against the US dollar.
- The price is trading below the $0.1650 level and the 100 simple moving average (4 hours).
- There was a break above a key bearish trend line with resistance at $0.1310 on the 4-hour chart of the DOGE/USD pair (data source from Kraken).
- The price could gain bullish momentum if it clears the $0.1600 and $0.1650 resistance levels.
Dogecoin Price Recovers Over 15%
After a strong decline, Dogecoin price found support near the $0.1220 zone. A low was formed at $0.1228 and DOGE recently started a decent recovery wave, like Bitcoin and Ethereum.
There was a steady increase above the $0.1320 and $0.1350 resistance levels. The price cleared the 23.6% Fib retracement level of the downward move from the $0.1927 swing high to the $0.1228 low. There was also a break above a key bearish trend line with resistance at $0.1310 on the 4-hour chart of the DOGE/USD pair.
Dogecoin is still trading below the $0.160 level and the 100 simple moving average (4 hours). On the upside, the price is facing resistance near the $0.1580 level or the 50% Fib retracement level of the downward move from the $0.1927 swing high to the $0.1228 low.
Source: DOGEUSD on TradingView.com
The next major resistance is near the $0.1650 level. A close above the $0.1650 resistance might send the price toward the $0.1850 resistance. The next major resistance is near $0.200. Any more gains might send the price toward the $0.220 level.
Another Decline in DOGE?
If DOGE’s price fails to gain pace above the $0.160 level, it could start another decline. Initial support on the downside is near the $0.1450 level.
The next major support is near the $0.130 level. If there is a downside break below the $0.130 support, the price could decline further. In the stated case, the price might decline toward the $0.1150 level.
Technical Indicators
4 Hours MACD – The MACD for DOGE/USD is now gaining 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 – $0.1450, $0.130 and $0.1150.
Major Resistance Levels – $0.1580, $0.160, and $0.1650.
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Author: Aayush Jindal
