Dogecoin (DOGE) Price Regains Bullish Momentum and Could Soon Start a Fresh Surge

In the last technical analysis, we discussed how Dogecoin price started a decent increase from the $0.1300 support zone. A base was formed and the price was able to surpass the $0.1450 and $0.1650 resistance levels, like Bitcoin and Ethereum.

Dogecoin price is showing some positive signs of strength above the $0.1700 support zone. If there is a move above the $0.20 and $0.220 resistance levels, then we can expect a decent increase.

Dogecoin price is trading in a bullish zone above the $0.1700 support, like Bitcoin and Ethereum. The bulls are now trying to push the price above the $0.20 resistance.

Dogecoin is still down about 70% from the 2021 highs of around $0.7370. Earlier this year, the price hit a low of $0.1297 and recovered more than 100% from the lows.

Dogecoin Price Shows Strength Above Key Supports

In the previous analysis, we discussed how Dogecoin price started a decent increase from the $0.1300 support zone. A base was formed and the price was able to surpass the $0.1450 and $0.1650 resistance levels.

Further, the bulls cleared the $0.1700 resistance level. There was a move toward the 23.6% Fib retracement level of the downward wave from the $0.4336 swing high to the $0.1297 low.

More importantly, the price settled above the $0.180 resistance and the 50-day simple moving average.

Dogecoin is now consolidating above the $0.180 level and the 50-day simple moving average. The current price and the recent bullish moves in Bitcoin suggest that DOGE could soon start another increase.

On the other hand, immediate resistance on the upside sits near the $0.20 level, which is the Fib resistance level. The first major resistance is visible near the $0.220 level or the 38.2% Fib resistance level.

A close above the $0.20 and $0.220 resistance levels could set the pace for a larger increase toward the $0.250 level. The next key resistance sits near the $0.2820 level and the 50% Fib retracement level of the downward wave from the $0.4336 swing high to the $0.1297 low.

Any more gains might send DOGE price toward the $0.3175 level in the coming days.

Another Drop In DOGE Might Spark More Downside

Conversely, if Dogecoin fails to break above the $0.20 resistance or $0.220, then we can expect another drop.

On the downside, the first major support is at the $0.180 level. There is also a key rising channel forming with support near $0.1780 on the daily chart. It coincides with the 50-day simple moving average.

A downside break and close below the $0.1780 support might spark heavy bearish moves. The next support is at the $0.1550 level.

If there is a close below the $0.1550 support, then the price might drop toward $0.1320 or even $0.120 in the medium term.