Dogecoin Resumes Selling Pressure as It Loses $0.08 Support

The price of Dogecoin (DOGE) has continued its downward movement by breaking the current support at $0.08. The cryptocurrency is falling to regain the previous low at $0.06.

Today, buyers are trying to push the altcoin higher, but are encountering rejection at the 21-day moving average. On the downside, the market will continue its downward movement to regain the previous low at $0.06. 

The upside move could continue if the cryptocurrency finds support above $0.06. A price rise above the $0.06 support will catapult the altcoin above the 21-day moving average line. However, the downtrend will resume if the bears fall below the previous low at $0.06. 

Dogecoin indicator reading 

Dogecoin is at level 35 of the Relative Strength Index for period 14. The cryptocurrency is trading in the downtrend zone and could continue to fall. The bears have broken the current support and the price is approaching the previous low. The downtrend will continue if the previous low cannot be held. The altcoin is above the 25% area of the daily stochastic. The bullish momentum is unstable as it is in a sideways movement.

Technical indicators:  

Major Resistance Levels - $0.18 and $0.16

Major Support Levels - $0.12 and $0.10

What is the next direction for Dogecoin?

Dogecoin is falling as it loses its current support. Meanwhile, on May 12 downtrend, a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement suggests that DOGE will fall, but will reverse at the 1.272 Fibonacci extension level or $0.05.

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 funds.