Dogecoin Fluctuates Above $0.20 Support, Can Bears Resume Selling Pressure?

The price of Dogecoin (DOGE) has fallen over the past 24 hours. Since the bears have crossed below the moving averages, the selling pressure will continue to the downside.

Today, the market has fallen to the low of $0.20 after retesting the high of 0.23. Further downside is possible to the lows of $0.165 or $0.18. The price of DOGE has already fallen into oversold territory. The altcoin will continue its upward movement if the market finds support above the low of $0.18. In the oversold region, buyers will push the altcoin to the previous high. Buyers need to keep DOGE above the high of $0.26 to resume the upward momentum.

Dogecoin indicator reading

The DOGE price is showing a bearish crossover. The 21-day line SMA crosses above the 50-day line SMA, which is a sell signal. Dogecoin is at level 36 on the Relative Strength Index for period 14, indicating that DOGE is in a downtrend and approaching oversold territory. Dogecoin is below the 20% range of the daily stochastic. The market has reached the oversold region.

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 price has fallen as it has reached the oversold region of the market. The selling pressure has reached bearish exhaustion. Meanwhile, a candlestick on the downtrend from August 26 has tested the 50% Fibonacci retracement level. The retracement suggests that DOGE will fall to the 2.0 Fibonacci extension level or the $0.18 level.

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.