Dogecoin (DOGE) Consolidates Strength, Calm Before Another Move?

[Ben Graham]

Dogecoin started a major increase above $0.1520 against the US Dollar. DOGE is now consolidating and might decline if it trades below $0.140.

• DOGE price started a fresh increase above $0.1480 and $0.1520.
• The price is trading below the $0.150 level and the 100-hourly simple moving average.
• There is a contracting triangle forming with resistance at $0.150 on the hourly chart of the DOGE/USD pair (data source from Kraken).
• The price could aim for a fresh increase if it remains stable above $0.140.

Dogecoin Price Consolidates Gains

Dogecoin price started a fresh increase after it settled above $0.1420, like Bitcoin and Ethereum. DOGE climbed above the $0.1450 resistance to enter a positive zone.

The bulls were able to push the price above $0.150. A high was formed at $0.1541 and the price is now correcting some gains. There was a move below the 23.6% Fib retracement level of the upward move from the $0.1155 swing low to the $0.1541 high.

Dogecoin price is now trading below the $0.150 level and the 100-hourly simple moving average. Besides, there is a contracting triangle forming with resistance at $0.150 on the hourly chart of the DOGE/USD pair.

If there is another increase, immediate resistance on the upside is near the $0.1480 level. The first major resistance for the bulls could be near the $0.150 level. The next major resistance is near the $0.1540 level. A close above the $0.1540 resistance might send the price toward $0.1625. Any more gains might send the price toward $0.1680. The next major stop for the bulls might be $0.1720.

More Losses In DOGE?

If DOGE’s price fails to climb above the $0.150 level, it could start a downside correction. Initial support on the downside is near the $0.1450 level. The next major support is near the $0.140 level.

The main support sits at $0.1360 or the 50% Fib retracement level of the upward move from the $0.1155 swing low to the $0.1541 high. If there is a downside break below the $0.1360 support, the price could decline further. In the stated case, the price might slide toward the $0.130 level or even $0.1280 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 below the 50 level.

Major Support Levels – $0.1450 and $0.1400.

Major Resistance Levels – $0.1500 and $0.1540.