TLDR
- Dogecoin price recovering from $0.1020 low
- Trading above $0.1120 and 100-hourly simple moving average
- Broke above bearish trend line at $0.1100
- Next resistance levels at $0.1165 and $0.1180
- Support levels at $0.1120, $0.1100, and $0.1080
Dogecoin, the popular meme-inspired cryptocurrency, is showing signs of recovery after a recent dip.
The digital currency, known by its ticker DOGE, has begun to climb from its recent low of $0.1020 against the US Dollar, sparking interest among crypto enthusiasts and investors.
In recent trading, DOGE has managed to push above the $0.1100 resistance level, marking a positive turn for the cryptocurrency.
This move has placed the price above the 100-hourly simple moving average, a technical indicator often used by traders to gauge market trends.
One significant development in DOGE’s price action is the break above a major bearish trend line. This trend line, which had acted as resistance at the $0.1100 level on the hourly chart of the DOGE/USD pair, has now been breached. Data from the Kraken exchange shows this shift in momentum.
As of the latest trading session, DOGE is trading above the $0.1120 level. This places it above the 23.6% Fibonacci retracement level of the downward wave that occurred from the recent swing high of $0.1320 to the low of $0.1012.
Looking ahead, traders and investors are watching key resistance levels. The immediate resistance is near the $0.1165 mark, which coincides with the 50% Fibonacci retracement level of the aforementioned downward wave. If DOGE can overcome this hurdle, the next major resistance lies at $0.1180.
A successful break above $0.1180 could potentially open the door for further gains. In such a scenario, the price might target the $0.1240 level, with the next major stop for bulls possibly being $0.1265.
The recent swing high of $0.1320 remains a significant target for any extended bullish move.
However, it’s important to note that the cryptocurrency market is known for its volatility, and DOGE is no exception.
If the price fails to climb above the $0.1165 level, it could face a renewed downward pressure. In this case, initial support can be found near the $0.1120 level, with further support at $0.1100.
The $0.1080 level serves as a crucial support area. A break below this could lead to a more significant decline, potentially pushing the price toward the recent low of $0.1020 or even as far as $0.0980 in the near term.
It’s worth noting that Dogecoin’s price movements often correlate with larger market trends. The current recovery in DOGE prices is happening alongside similar movements in other major cryptocurrencies like Bitcoin and Ethereum.
As always, potential investors should be aware that cryptocurrency prices can be highly unpredictable and subject to rapid changes. While technical analysis can provide insights into potential price movements, it’s not a guarantee of future performance.
The current price action in Dogecoin demonstrates the ongoing interest in the cryptocurrency, which has maintained a dedicated following since its creation as a “joke” currency in 2013.
Despite its origins, DOGE has become one of the more recognizable names in the crypto space, often benefiting from social media attention and celebrity endorsements.
