Dogecoin Price Could See Another Decline

Dogecoin price started a fresh decline from the $0.40 zone, where it faced strong selling pressure. Afterward, DOGE price began a correction and found support near the $0.3750 level. It is now consolidating losses and faces many hurdles.

Dogecoin Price Analysis

After a strong decline, Dogecoin found support near the $0.2640 zone. It started a recovery wave above the $0.300 and $0.320 levels, outperforming Bitcoin and Ethereum. The bulls cleared the $0.350 resistance zone.

However, the bears remained active near the $0.40 level and there was no close above the 50-day simple moving average. As a result, DOGE saw a fresh bearish reaction below the $0.3750 support.

Dogecoin dropped below $0.3350 and tested $0.3150. It is now consolidating losses above the $0.320 level. If the bulls push the price higher, they might struggle near the $0.3750 level and the 50-day simple moving average.

There is also a key contracting triangle forming with resistance at $0.3750. The first major resistance is near the $0.40 level and the 61.8% Fib retracement level of the downward move from the $0.4845 swing high to the $0.2630 low.

A clear move above the $0.40 resistance could send the price further higher. The next key resistance sits near the $0.4320 zone or the 76.4% Fib retracement level of the downward move from the $0.4845 swing high to the $0.2630 low, above which the price could accelerate higher toward $0.450. Any more gains might send DOGE price toward the $0.4850 level in the coming days.

Another Decline In DOGE?

Conversely, Dogecoin might fail to surpass the $0.3750 resistance. In the stated case, the price could start another decline. Immediate support on the downside is near the $0.3150 level.

The first major support is near the $0.280 level, below which the price might drop and test $0.2640. The next major support sits at the $0.2320 level. If the bulls fail to defend the $0.2320 support, the price might drop toward $0.200 or even $0.1785 in the medium term.

Overall, DOGE is consolidating losses above $0.320. To start a decent increase, DOGE must clear the $0.3750 and $0.400 resistance levels in the near term. If not, it could revisit the $0.2640 support.