Dogecoin (DOGE) Lags Behind: Struggles to Reignite Bullish Momentum

Dogecoin started a downside correction from the $0.400 zone against the US Dollar. DOGE is now consolidating and might attempt a fresh increase if it stays above $0.3350.

• DOGE price started a fresh decline below $0.3880 and $0.3650.
• The price is trading below the $0.3550 level and the 100-hourly simple moving average.
• There is a major bearish trend line forming with resistance at $0.3520 on the hourly chart of the DOGE/USD pair (data source from Kraken).
• The price could start another increase if it clears the $0.3520 and $0.3550 resistance levels.

Dogecoin Price Dips To Support

Dogecoin price started a fresh decline from the $0.400 resistance zone, unlike Bitcoin and Ethereum . DOGE dipped below the $0.3800 and $0.3650 support levels. It even spiked below $0.350.

A low was formed at $0.3416 and the price is now consolidating losses below the 23.6% Fib retracement level of the downward move from the $0.4014 swing high to the $0.3416 low. There is also a major bearish trend line forming with resistance at $0.3520 on the hourly chart of the DOGE/USD pair.

Dogecoin price is now trading below the $0.3550 level and the 100-hourly simple moving average. Immediate resistance on the upside is near the $0.3520 level and the trend line.

The first major resistance for the bulls could be near the $0.3550 level. The next major resistance is near the $0.3720 level or the 50%  Fib retracement level of the downward move from the $0.4014 swing high to the $0.3416 low.

Source: DOGEUSD on TradingView.com

A close above the $0.3720 resistance might send the price toward the $0.3860 resistance. Any more gains might send the price toward the $0.40 level. The next major stop for the bulls might be $0.420.

Another Decline In DOGE?

If DOGE’s price fails to climb above the $0.3550 level, it could start another decline. Initial support on the downside is near the $0.3420 level. The next major support is near the $0.3380 level.

The main support sits at $0.3250. If there is a downside break below the $0.3250 support, the price could decline further. In the stated case, the price might decline toward the $0.3020 level or even $0.300 in the near term.

Technical Indicators

Hourly MACD – The MACD for DOGE/USD is now gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now below the 50 level.

Major Support Levels – $0.3400 and $0.3380.

Major Resistance Levels – $0.3550 and $0.3720.