Dogecoin is struggling to rise above the $0.1650 resistance zone against the US Dollar. DOGE could fall sharply if it settles below the $0.140 support.
- DOGE is facing many hurdles near the $0.1650 and $0.170 levels against the US Dollar.
- The price is trading below the $0.1620 level and the 100 simple moving average (4-hours).
- A key bearish trend line is forming with resistance at $0.1620 on the 4-hour chart of the DOGE/USD pair (data source from Kraken).
- The price needs to settle above $0.170 to enter a positive zone and initiate a fresh increase.
Dogecoin price signals downturn
After a sharp decline, Dogecoin price started a recovery wave from the $0.1280 zone. A low was formed at $0.1283 and DOGE, like Bitcoin and Ethereum, climbed above $0.1350.
There was a move above the $0.1385 and $0.140 resistance levels. The price climbed above the 23.6% Fib retracement level of the downward move from the swing high $0.2092 to low $0.1283. However, the bears secured further gains above the $0.170 resistance level.
The price failed to test the 50% Fib retracement level of the downward move from the high at $0.2092 to the low at $0.1283. A key bearish trend line is also forming with resistance at $0.1620 on the 4-hour chart of the DOGE/USD pair.
Dogecoin is also below the $0.160 level and the 100 simple moving average (4-hours). On the other side, the price is facing resistance near the $0.160 level.
Source: DOGEUSD on TradingView.com
The next major resistance is near the $0.1680 level. The main hurdle lies at $0.170. A close above the $0.170 resistance could propel the price towards the $0.1850 resistance. Further gains could push the price towards the $0.20 level.
More losses on DOGE?
If DOGE price fails to gain momentum above the $0.160 level, it could see a further decline. The first support on the downside is near the $0.1475 level.
The next major support is near the $0.1400 level. If there is a downward break below the $0.1400 support, the price could fall further. In the mentioned case, the price could fall towards the $0.120 level.
Technical indicators
4-hour MACD – The MACD for DOGE/USD is now gaining momentum in the bearish zone.
4-hour RSI (Relative Strength Index) – The RSI for DOGE/USD is now below the 50 level.
Key Support Levels – $0.1475, $0.1400 and $0.1200.
Major resistance levels – $0.1600, $0.1680 and $0.1700.
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