Dogecoin (DOGE) Hits Resistance, Recovery Momentum Shows First Signs of Fading

[Ben Graham]

Dogecoin started a recovery wave above the $0.1420 zone against the US Dollar. DOGE is now facing hurdles near $0.1540 and might struggle to continue higher.

• DOGE price started a decent upward move above $0.140 and $0.1420.
• The price is trading above the $0.1450 level and the 100-hourly simple moving average.
• There is a bearish trend line forming with resistance at $0.1530 on the hourly chart of the DOGE/USD pair (data source from Kraken).
• The price could extend losses if it stays below $0.1530 and $0.1540.

Dogecoin Price Faces Hurdles

Dogecoin price started a recovery wave from the $0.1330 zone, like Bitcoin and Ethereum. DOGE climbed above the $0.1320 and $0.140 resistance levels.

There was a decent upward move above the 50% Fib retracement level of the downward move from the $0.1593 swing high to the $0.1330 low. However, the bears seem to be active near the $0.1530 and $0.1540 levels. Besides, there is a bearish trend line forming with resistance at $0.1530 on the hourly chart of the DOGE/USD pair.

Dogecoin price is now trading above the $0.150 level and the 100-hourly simple moving average. If there is a recovery wave, immediate resistance on the upside is near the $0.1530 level. The first major resistance for the bulls could be near the $0.1540 level, the trend line, and the 76.4% Fib retracement level of the downward move from the $0.1593 swing high to the $0.1330 low.

The next major resistance is near the $0.1590 level. A close above the $0.1590 resistance might send the price toward the $0.1650 resistance. Any more gains might send the price toward the $0.1720 level. The next major stop for the bulls might be $0.180.

Another Decline In DOGE?

If DOGE’s price fails to climb above the $0.1540 level, it could continue to move down. Initial support on the downside is near the $0.1460 level. The next major support is near the $0.1420 level.

The main support sits at $0.1330. If there is a downside break below the $0.1330 support, the price could decline further. In the stated case, the price might slide toward the $0.120 level or even $0.1120 in the near term.

Technical Indicators

Hourly MACD – The MACD for DOGE/USD is now losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.

Major Support Levels – $0.1460 and $0.1420.

Major Resistance Levels – $0.1540 and $0.1590.