Dogecoin Is in a Fresh Downtrend, Poises to Revisit the $0.21 Low

May 30, 2021 at 07:23 // News
Coin Idol
As the downtrend resumes, then the bears may want to push DOGE price to the lows

On May 29, 2021, Dogecoin (DOGE) price was in another downtrend. Now the token is in trade at the level of $0.30 at the time of writing.

Dogecoin (DOGE) Price Long-term Prediction: Bullish

Following the last bearish impulse last week buyers and sellers have been in price tussle between $0.28 and $0.38. Buyers attempted to push the DOGE price above the moving averages but were repelled. The bulls were rejected at $0.36 and $0.38 resistance which caused the altcoin to resume selling pressure. As the downtrend resumes, then the bears may want to push DOGE price to the lows of either $0.24 or $0.21. 

In the previous price action, the market fell to these lows but the bulls bought the dips. On May 20, DOGE price corrected upward but was resisted at $0.44. This plunged the altcoin to a $0.24 low. Again, the bulls bought the dips as the price corrected upward to $0.38. Dogecoin continued its downward correction before the last rejection at $0.36. 

Dogecoin (DOGE) Indicator Reading 

Now the DOGE/USD pair price has broken below the 21-day and 50-day SMAs which suggest a further downward movement of the prices. Dogecoin is below the 40% range of the daily stochastic. This indicates that the market has bearish momentum. The 21-day SMA and 50-day SMAs are sloping downward.


Technical indicators:  

Major Resistance Levels – $0.80 and $0.85

Major Support Levels – $0.45 and $0.40

What is the next direction for Dogecoin (DOGE)?

Dogecoin has resumed a fresh downtrend as price breaks below the moving averages. The downtrend on May 10 with a retraced candle body tested the 61.8 % Fibonacci retracement level indicates that the altcoin will fall to level 1.618 Fibonacci extension or level $0.18. 


Disclaimer. This analysis and forecast are the author’s personal opinions, 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.

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