Dogecoin against USD has started a downward correction below the support level of $0.400. DOGE is now consolidating and may target above $0.4050.
DOGE price starts a new round of decline below the $0.40 level.
Price is below the level of $0.4050 and the 100-hour simple moving average.
On the hourly chart of the DOGE/USD pair, there is a connected bullish trend line forming, with support at $0.3950 (data source from Kraken).
If the resistance levels of $0.4050 and $0.4150 are broken, the price may begin another rebound.
Dogecoin price eyes fresh increase
Unlike Bitcoin and Ethereum, Dogecoin's price has started a new round of decline from well above $0.410. DOGE is trading below the support levels of $0.4020 and $0.400. It even surged below $0.3980.
After forming a low at $0.3963, the price is now consolidating losses. It has regained some points and climbed above $0.40. It surpassed the 23.6% Fibonacci retracement level moving down from the swing high of $0.4136 to the low of $0.3963.
Dogecoin's price is currently trading below the $0.4050 level and the 100-hour simple moving average. On the hourly chart of the DOGE/USD pair, there is also a connected bullish trend line forming, with support at $0.3950.
The immediate resistance level on the upside is around $0.4025. The first major resistance for the bulls may be around $0.4050. The next major resistance level is near $0.4095 or around the 76.4% Fibonacci retracement level from the swing high of $0.4136 to the low of $0.3963.
Source: DOGEUSD on TradingView.com
Closing above the resistance level of $0.4095 may push the price towards the resistance level of $0.4150. Any further gains could bring the price closer to the $0.4350 level. The next major target for the bulls may be $0.4500.
More losses for DOGE?
If the price of DOGE fails to rise above $0.4050, it may begin to decline again. Initial support on the downside is around $0.3980. The next major support level is around $0.3950.
Major support is at $0.3750. If the support level of $0.3750 is broken to the downside, the price could decline further. In that case, the price may fall to $0.3500 or even $0.3420 in the short term.
Technical indicators
Hourly MACD – The MACD for DOGE/USD is now losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now below the 50 level.
Major support levels – $0.3980 and $0.3750.
Major resistance levels – $0.4050 and $0.4095.
