Dogecoin Risks Decline as Bears Threaten Further Downtrend Action

Following its rejection from the $0.45 high, Dogecoin (DOGE) crashed to $0.15 low and pulled back to $0.26 high.

Dogecoin (DOGE) Price Long-term Prediction: Bullish

After the pullback, the bulls have failed to sustain the bullish momentum. The bears have taken control of price and have resumed the selling pressure. The implication is that the selling pressure may continue on the downside to the previous low at $0.15. 

However, if price falls to the previous low and breaks the $0.15 support, the market will further decline to $0.10 low. DOGE/USD is trading at $0.24 at the time of writing. The bulls and bears are in price tussles as sellers intend to push prices down. The altcoin will resume upside momentum if buyers sustain price above $0.35 high. Otherwise, DOGE will fall to the low of $0.15 or $0.10.

Dogecoin (DOGE) Indicator Reading 

The altcoin is falling toward the support line of the ascending channel. A break below the support line will compel the DOGE to further decline on the downside. The 21-day and 50-day SMAs are sloping upward indicating the previous trend. DOGE is at level 57 of the Relative Strength Index period 14. It indicates that price is in the uptrend zone and capable of rising on the upside.

Technical indicators:  

Major Resistance Levels – $0.45 and $0.50

Major Support Levels – $0.25 and $0.20 

What is the next direction for Dogecoin (DOGE)?

The altcoin is in a downward move. Further downside is expected as Dogecoin faces rejection at the $0.25 resistance zone. Meanwhile, on April 16 downtrend; a retraced candle body tested the 61.8 % Fibonacci retracement level. This implies that price will fall to level 1.618 Fibonacci extension or the low of $0.093. Presently, the market has fallen to the low of $0.24.

Disclaimer. This analysis and forecast are the personal opinions of the author are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.