Dogecoin Retraces as It Holds Above $0.09 Support

Dogecoin (DOGE) is in a downtrend as the altcoin fluctuates between moving average lines.

Since November 9, DOGE has been trapped between the moving averages. Nevertheless, the altcoin will remain trapped as long as the lines are not breached. 

Today, DOGE is rising and approaching the 21-day line SMA. If buyers keep the price above the line, DOGE will rise and regain the previous high of $0.15. If DOGE declines and falls below the 50-day line SMA, the market will fall back to the previous low of $0.05. At press time Dogecoin is trading at $0.09.

Dogecoin indicator reading

DOGE has declined significantly as it reached the 49 level of the Relative Strength Index for the 14 period. This means that there is a balance between supply and demand. The cryptocurrency's price bars are between the moving average lines, indicating a possible movement within the range of DOGE. Currently, the altcoin is in a bullish momentum above level 60 of the daily stochastic. 

Technical indicators:  

Major Resistance Levels - $0.12 and $0.14

Major Support Levels - $0.06 and $0.04

What is the next direction for Dogecoin?

Dogecoin is in a bullish momentum on the 4-hour chart. The cryptocurrency has risen above the 21-day line SMA. The altcoin has risen into an overbought area of the market. The cryptocurrency could fall at the recent high.

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.