Dogecoin Struggles Below $0.18 – But For How Long?

Dogecoin (DOGE), the cryptocurrency often associated with Shibainu dogs and Elon Musk, has been struggling to break above the $0.18 resistance level. However, despite short-term weakness, the broader trend for DOGE remains bullish.

The memecoin is currently consolidating above the key $0.17 support, a sign that it may be preparing for a major move once market conditions improve.

Dogecoin is known for its volatility, which can create opportunities for both profit and loss.

As of 10:38 ET (14:38 GMT) on Wednesday, Dogecoin was trading at $0.174, down 0.46% over the past 24 hours. It has also seen a 7.64% decrease in the past seven days.

Dogecoin Has Shown Signs Of Accumulation Around $0.17

The cryptocurrency has encountered difficulty breaking above the $0.18 resistance, a level that it has touched on multiple occasions in recent weeks. However, despite this setback, the broader trend for DOGE remains bullish, especially considering the strong support at the $0.17 mark.

Recently, there has been a buildup in volume around the $0.17 support, indicating that buyers are stepping in at lower prices to catch the falling coin. This is a positive sign for Dogecoin, as it suggests that there is demand for the coin even in a bearish market.

Moreover, the Stochastic Relative Strength Index (SRSI) has crossed into oversold territory on the 1-day chart, further supporting the possibility of a near-term rebound.

Once Bitcoin crosses the $100,000 threshold, which is a key psychological level, we can expect to see a massive wave of capital flowing into altcoins and memecoins. This eventuality would benefit DOGE directly, especially if the coin manages to break above the $0.18 resistance by that time.

Once the breakout occurs, the next price targets to watch are:

This potential breakout aligns with broader market optimism, especially in a post-Bitcoin-ATH environment. However, it's important to note that these are just technical possibilities, and the actual price action of DOGE will depend on a variety of factors, including overall market sentiment, Bitcoin's price performance, and any major news events that may impact the cryptocurrency market.