Dogecoin Risks Drop To $0.060 Support If Met With Rejection

Dogecoin (DOGE) price has reached bearish exhaustion since the price decline on June 10.

Dogecoin price long term forecast: bearish

Bearish momentum broke through the current support level of $0.06 on June 10, and the downtrend continued to a low of $0.053. Current support had held since March 10 prior to the breakout. For October 13, 2022, the historical price level is $0.053. The bears tested this level one more time and then turned around. Today, DOGE is trading for $0.0062 as we write these lines. The current support level at $0.060 is holding, while DOGE is rising. If the upward movement continues, the altcoin will rise to $0.070. However, the market will fall back to the previous low of $0.053 if DOGE falls back and drops below the $0.060 support.

Dogecoin indicator display

DOGE is currently in oversold territory. For period 14, it is at level 29 of the Relative Strength Index. As the market approaches the oversold area, the selling pressure will ease. The current decline is due to the price bars being below the moving average lines. Above the daily stochastic reading of 80, DOGE is in a bullish momentum. The risk is decreasing as the altcoin is overbought.

Technical Indicators

Key resistance levels - $0.12 and $0.14

Key support levels - $0.06 and $0.04

What is the next direction for Dogecoin?

DOGE/USD has reached the overbought zone as a result of the recent upward correction. Prices will fall as sellers enter the market. The support at 0.060 will be revisited by the altcoin. If the bears break the support at $0.060, the downtrend will resume. On the other hand, if the current support holds, there will be a movement within a certain range.

Disclaimer. This analysis and forecast are the personal opinions of the author and 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 in funds.