Dogecoin Bounces Back But Encounters Resistance Twice At $0.17

May 08, 2024 at 14:11 // Price
Coin Idol

The price of Dogecoin (DOGE) is trapped between the moving average lines as buyers have failed to sustain the upside momentum above these lines.

Long-term forecast for the Dogecoin price: bearish

On May 1, the bears pushed the DOGE price to a low of $0.12 for the second time, but the bulls bought the dips. The altcoin experienced an upward correction and rose above the moving average lines before being beaten back at the 50-day SMA. If the buyers were successful, DOGE would have returned to its previous highs of $0.20 and $0.22. The altcoin pulls back after being rejected.

The altcoin is above the 20-day SMA but falls below the 50-day SMA. If the moving averages are broken, the cryptocurrency will trend. The DOGE/USD exchange rate currently stands at $0.156.

Dogecoin indicator reading

After the recent price rally and subsequent rejection, DOGE is trading between the moving averages. The altcoin will have to fluctuate while a probable trend is established. The price bars on the 4-hour chart have retraced between the moving average lines after the setback.

Technical Indicators

Key resistance levels - $0.12 and $0.14

Key support levels – $0.06 and $0.04

DOGEUSD_( Daily chart) - May 7.jpg

What is the next direction for Dogecoin?

Dogecoin is in an upward correction, although it is facing resistance at its recent high. The altcoin has pulled back above the support level of $0.156 while remaining between the moving average lines. It is hovering above the current support level and the 21-day simple moving average.

DOGEUSD_( 4 -Hour chart) -May 7.jpg

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 Readers should do their research before investing in funds.

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