Dogecoin Escapes The Downturn And Climbs Above $0.07

Jan 01, 2023 at 08:30 // Price
Coin Idol
Dogecoin is rallying above the support level of $0.070, indicating a possible rise in the cryptocurrency

Dogecoin (DOGE) price hit a low of $0.06 on December 30. Today, DOGE is recovering as it started to rise.

Dogecoin price long term forecast: bearish

As the bulls bought the dips on December 19, the bears broke the $0.07 support in the current price action. The $0.07 level is proving to be a barrier for buyers trying to keep the price above the previous low. The previous $0.07 support level, which is now resistance, is currently being retested by the bullish momentum. The market will rise above the moving average lines and reach a high of $0.10 if buyers keep the price above the $0.07 resistance level. Today, Dogecoin is rallying above the support level of $0.070, indicating a possible rise in the cryptocurrency.  

Dogecoin indicator display 

According to the Relative Strength Index of period 14, Dogecoin is still trading at the 35 level. The cryptocurrency value is likely to continue falling as long as it is in the bearish trend zone. The location of the price bars is below the moving average lines, which indicates a further decline. The altcoin has been trading in the oversold zone below level 20 of the daily stochastic level since December 11.

DOGEUSD(Daily Chart) - December 31.22.jpg

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?

The bulls bought the decline on December 28 and the cryptocurrency price broke the support level of $0.07. After the November 9 downtrend, DOGE performed an upward correction and the 78.6% Fibonacci retracement level was tested by the body of the retraced candle. After the correction, DOGE will fall but turn around the 1.272 Fibonacci extension or $0.059.

DOGEUSD(Daily Chart 2) - December 31.22.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 Coin Idol. Readers should do their own research before investing in funds.

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