Dogecoin Reaches Oversold Region And Struggles With $0.080 High

Apr 23, 2023 at 08:25 // Price
Coin Idol
DOGE has fallen into the bearish trend zone

Dogecoin (DOGE) price has recently declined and is currently in a bearish trend area.

Dogecoin price long term forecast: bullish

The value of the cryptocurrency has fallen below the moving average lines. The price of DOGE has fallen to a low of $0.076 today. The price of the cryptocurrency is declining as the bulls bought the dips. Buyers are likely to push the altcoin higher to retest the $0.095 resistance. The price movement has been in a sideways trend since January 31. The cryptocurrency's value has fluctuated in both directions over the past three months. In the recent market movements, buyers made four unsuccessful attempts to break the $0.09 high. If the buyers break out above the 50-day line SMA, the uptrend of DOGE will be limited between the moving average lines. Consequently, the altcoin will become "range bound" between the moving average lines. In contrast, DOGE will fall to a low of $0.070 before the 50-day line SMA rejects it.

Dogecoin indicator display

The Relative Strength Index for Dogecoin is 42 for the 14 period.

It has fallen into the bearish trend zone and is likely to fall further. Although the price bars are below the moving average lines, buyers are trying to stop the cryptocurrency's further decline. Dogecoin is currently trading in the oversold zone of the market. The daily stochastic is currently below the level of 20. Bearish fatigue has been reached in the current slide. Buyers are most likely to emerge in the oversold area of the market.

DOGEUSD(Daily Chart) ) April 22.23.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 downtrend from DOGE has brought it into the oversold area of the market. In anticipation of a likely uptrend, the cryptocurrency's price is consolidating above the previous support. Near the high of $0.080, the upward momentum will initially encounter resistance. In the meantime, it consolidates below the resistance level.

DOGEUSD(4 hour Chart) - April 22.23.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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