Dogecoin formed a base near $0.066 and started a new increase against the US Dollar. DOGE may rise further if it is near the top of the $0.080 resistance.
- DOGE rose quickly and traded above the $0.075 resistance against the US dollar.
- The price is trading above the $0.0750 zone and the 100 simple moving average (4 hours).
- There is a key bullish trend line formed with support near $0.0740 on the 4-hour chart of the DOGE/USD pair (data source from Kraken).
- The pair may rise again if there is a clear close above the $0.080 resistance.
Dogecoin Bullish price signal
After a sharp decline, dogecoin price found support near the $0.066 zone. DOGE remains a good offer and started a steady increase above the $0.068 resistance.
There is a clear move above the $0.070 resistance zone to set the pace for a decent increase. The price cleared the 23.6% Fib retracement level of the key decline from $0.1402 high to $0.0658. The price is currently trading above the $0.0750 zone and the 100 simple moving average (4-hours).
There is also a key bullish trend line formed with support near $0.0740 on the 4-hour chart of the DOGE/USD pair. In the past few sessions, the doge saw a bullish move above $0.075, similar to bitcoin and ethereum.
On the upside, the price faces resistance near the $0.080 level. The first major resistance is near the $0.0820 level. A clear move above the $0.082 resistance could send the price to the $0.088 resistance. It is near the 50% Fib retracement level of the key decline from the $0.1402 swing high to the $0.0658 low.
Source: DOGEUSD on TradingView.com
Another gain could send the price to the $0.090 level. A clear move above the $0.090 resistance could open the gate for a rally to the $0.100 level.
Limited Dips in DOGE?
If the price of DOGE cannot exceed the $0.082 level, a downward correction is likely. Initial support on the downside is near the $0.0765 level.
The next major support is near the $0.074 level and the trend line. If there is a downside break below the $0.074 support, the price may fall again. In that case, the price could drop to the $0.070 level.
Technical Indicators
4-Hour MACD – MACD for DOGE/USD is currently gaining momentum in the bullish zone.
4-Hour RSI (Relative Strength Index) – RSI for DOGE/USD is currently above the 50 level.
Key Support Levels – $0.0765, $0.0740 and $0.0700.
Key Resistance Levels – $0.080, $0.0850 and $0.088.