With the bullish trend faltering, Dogecoin (DOGE) is hovering near the psychological mark of $0.10. Will this lead to a significant downturn?
As the bullish trend in meme coins continues in the low-cap coins, the top coins find a bearish opposition. While the meme coin segment drops below the $50 billion market cap threshold, Dogecoin, the segment leader, is experiencing a slowdown.
With Dogecoin failing to lift off, the meme coin hibernates after a crucial breakout run. Will the meme coin manage a post-retest reversal for a bull run ahead?
Dogecoin Price Analysis
In the daily chart, the Dogecoin price action reveals a bullish breakout of a medium-term resistance trendline. This marks a bullish breakout of a falling-wedge pattern.
However, the breakout rally struggles to gain sustained momentum as the broader market remains volatile. During the market’s correction phase, Dogecoin is undergoing a retest of the broken trendline, causing its price to move laterally near the 50-day exponential moving average (EMA).
Despite increasing volatility and uncertain price movement, Dogecoin maintains its position above the $0.10 psychological mark. Currently, it is trading at $0.10739, reflecting an intraday pullback of 0.92%. This pullback follows a 2.83% drop the previous night. Meanwhile, Dogecoin still boasts an impressive 12% month gain.
Where’s Dogecoin Headed?
Amid the resurfacing selling pressure, Dogecoin is losing grip over the 50-day EMA. The MACD indicator shows a declining trend on the average lines with the rising intensity of bearish histograms. Hence, the technical and momentum indicators give a sell signal for Dogecoin.
The meme coin trades between the support level of $0.09783 and a resistance ceiling of $0.14026. In the event of a bullish breakout, the next target for Dogecoin would be the 200-day EMA at $0.1170.
Meanwhile, if the $0.10 psychological support breaks down, a continuation of the bearish trend will likely challenge the $0.09783.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
