This week has turned out to be worse for altcoins following the latest drops that hit the market. Dogecoin has completely lost momentum as the price dips in search of a solid support level.
The $0.1 level stopped Dogecoin’s rally earlier last month after rising by 40% in the four weeks. The price dropped for some days and later found support above the $0.079 level.
It bounced off that level and recovered slightly to where it encountered resistance at $0.092. This resistance produces a sell, and the price returns to the previous support. It consolidated above the support level for a week before breaking down to a two-month low yesterday.
Dogecoin continued to show signs of weakness today, with about a 3.3% loss. The bears have stepped back and are now fully in control. Bigger selling pressure is expected to occur as the price charges towards a crucial level.
Meanwhile, the breakdown support level – which now serves as a resistance – could be revisited if the coin finds support nearby. As of now, there is no sign of recovery. The bulls have lost control.
If Doge shows a sign of strength and manages to rebound above $0.07, it would need to retake last month’s resistance levels to convince buyers of a potential increase. Otherwise, the cryptocurrency will keep dropping until selling exhaustion set in.
DOGE’s Key Level To Watch
The closest support level for the ongoing drop is $0.072. Below this support lies the $0.067 level that Dogecoin recovered from last December. A crash from here would take us straight to $0.061 without any hassle.
The resistance level to be revisited is $0.079. An immediate resistance level above it lies at $0.083. If Dogecoin retakes these mentioned resistances, a push above the $0.093 level will signal an upside movement.
Key Resistance Levels: $0.079, $0.083, $0.093
Key Support Levels: $0.072, $0.067, $0.061
- Spot Price: $0.0744
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
Image Source: winst2014/123RF // Image Effects by Colorcinch
