Dogecoin is trading in a bearish zone below the 50-day simple moving average. DOGE price could decline further if it remains below $0.3750.
Dogecoin Price Takes Hit
In the past few days, Dogecoin saw a steady decline like Bitcoin. The bears remained in action below the $0.420 pivot level and dragged the price lower. They succeeded in a close below the $0.40 support level.
More importantly, DOGE traded below a key rising channel with support at $0.3980 on the daily chart. The price declined over 20% and even spiked below the $0.280 support. A low was formed at $0.2630 and the price settled below the 50-day simple moving average.
Dogecoin price daily chart | Source: DOGE/USD on TradingView.com
Dogecoin is now consolidating losses above the $0.300 level. It tested the 23.6% Fib retracement level of the downward move from the $0.4845 swing high to the $0.2630 low.
If the bulls push the price higher, they might struggle near the $0.340 level. The first major resistance is near the $0.3750 level and the 50-day simple moving average. It coincides with the 50% Fib retracement level of the downward move from the $0.4845 swing high to the $0.2630 low.
A clear move above the $0.3750 resistance could send the price further higher. The next key resistance sits near the $0.400 zone, above which the price could accelerate higher toward $0.4250. Any more gains might send DOGE price toward the $0.450 level in the coming days.
Conversely, Dogecoin might fail to surpass the $0.3750 resistance. In the stated case, the price could continue to move down. Immediate support on the downside is near the $0.30 level.
The first major support is near the $0.2680 level, below which the price might drop and test $0.250. The next major support sits at the $0.220 level. If the bulls fail to defend the $0.220 support, the price might drop toward $0.200 or even $0.1780 in the medium term.
Overall, DOGE is consolidating losses above $0.30. To start a decent increase, DOGE must surpass the $0.340 and $0.3750 resistance levels in the near term. If not, it could revisit the $0.220 support.
