Dogecoin (DOGE) Bounces Back: Is a New Rally Brewing?
Dogecoin against the US Dollar is accelerating above the $0.4250 support level. DOGE is in bullish territory and may break the $0.4650 resistance soon.
- DOGE price started a fresh rise above $0.420.
- The price is trading above the $0.4250 levels and the 100 hourly simple moving average.
- There is a break above a key bearish trend line with resistance at $0.4150 on the hourly chart of the DOGE/USD pair (data source: Kraken).
- If the price breaks the $0.450 and $0.4650 resistance levels, another upward leg could start.
Dogecoin price regains momentum
Dogecoin Price Begins New Rise Above $0.410, e.g. Bitcoin and Ethereum. DOGE is trading above the $0.4200 and $0.4250 resistance levels.
There was a break above a key bearish trend line with resistance at $0.4150 on the hourly chart of the DOGE/USD pair. The bulls even pushed the price above the 50% Fib retracement level of the downward move from the $0.4637 swing high to $0.3878 low.
Dogecoin price is currently trading above the $0.420 level and the 100 hourly simple moving average. Immediate resistance on the upside is near $0.4450. It is close to the 76.4% Fib retracement level of the downward move from the swing high of $0.4637 to low of $0.3878.
The first major resistance level for bulls is likely to be near $0.450. The next major resistance is near $0.4650. A close above the $0.4650 resistance may push the price towards the $0.4750 resistance. Any more upside could push the price towards $0.5000 levels. The next major stop for the bulls is likely to be $0.5200.
Downside correction for DOGE?
If the price of DOGE fails to climb above $0.4450, another decline could begin. Initial support on the downside is near $0.4250. The next major support is near $0.4120.
The main support level is $0.400. If it breaks below the $0.400 support, the price may fall further. In the above scenario, the price may drop towards $0.3880 or even $0.3750 in the short term.
Technical indicators
Hourly MACD – The MACD for DOGE/USD is currently gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is currently above the 50 level.
The main support levels – $0.4250 and $0.4120.
The main resistance levels – $0.4450 and $0.4650.
