While some of the most popular meme coins like Pepe and Floki have posted huge gains in the past few days, Dogecoin remained bearish and has shed roughly 5% on a weekly scale. It slightly crackdown yesterday and now looks poise for a fresh decrease.
Dogecoin has been on a downward spiral for some weeks now. Although the past three weeks have been indecisive for the leading meme coin as it moves from little-to-no volatility for two weeks straight.
Following yesterday’s surge that hit the entire market, the price fell off $0.79 to $0.076, making it the most notable drop since April 23. The selling pressure is currently calm due to a small retest at $0.077. We can expect it to continue shortly.
The continuation of the bearish actions might bring a third retest at the descending resistance line, forming since last December. A strong rebound at the resistance line could activate a positive action.
Even though a rebound occur, Doge would need to push above the $0.084 level before we can start to consider an upward movement. A clear increase above $0.105 will validate a complete bullish reversal in the near term.
A daily candle close below the $0.0745 level – marked as last week’s low – could cause severe pain for the cryptocurrency. The daily volume indicator is at its low, as we can see. An increase above the signal line will mean that buyers are stepping back.
DOGE’s Key Level To Watch
For a bearish continuation, the closest level to watch for a drop is $0.0727, followed by $0.067. If those levels fail to contain selling pressure, the next support would be $0.063.
Reclaiming the $0.079 and $0.08 resistance levels together, the potential resistance levels to keep in mind are $0.089 and $0.095 for a significant increase.
Key Resistance Levels: $0.079, $0.085, $0.089
Key Support Levels: $0.0727, $0.067, $0.063
Spot Price: $0.077
Trend: Bearish
Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
Image Source: slavstan/123RF // Image Effects by Colorcinch
