Dogecoin started a strong increase again above the $0.320 resistance against the US Dollar. DOGE is holding gains and aiming for further gains above $0.4180.
DOGE price started a fresh bullish run just like Bitcoin and surged above the $0.350 resistance.
The price is trading above the $0.3650 level and the 100 hourly simple moving average.
There is a key bullish trend line forming with support at $0.3870 on the hourly chart of the DOGE/USD pair (data feed from Kraken).
The price could continue to rise if it clears the $0.400 and $0.4150 resistance levels.
Dogecoin Price Heads for New Bull Run
Dogecoin price started a strong increase after breaking above the $0.320 resistance level like Bitcoin and Ethereum. DOGE was able to accelerate to clear the $0.3800 and $0.400 resistance levels.
The pair even surged above $0.4200. A high was formed at $0.4342 and the price is currently correcting the increase. There was a move below the $0.40 level. The price declined below the 50% Fib retracement level of the upward move from the $0.3519 low to $0.4342 high.
However, buyers are active near the $0.3850 area. Dogecoin price is currently trading above the $0.3650 level and the 100 hourly simple moving average. There is also a key bullish trend line forming with support at $0.3870 on the hourly chart of the DOGE/USD pair. This trend line is close to the 61.8% Fib retracement level of the upward move from the $0.3519 low to $0.4342 high.
The immediate resistance on the upside is near $0.400. The next major resistance is near $0.4150. A close above the $0.4150 resistance could push the price towards the $0.4320 resistance. Any further gains could push the price towards $0.4500. The next major stop for the bulls could be at $0.4650.
Is Dips supported in DOGE?
If DOGE price fails to clear the $0.4150 level, it could start a downside correction. The initial support on the downside is near the $0.3870 level and the trend line. The next major support is near the $0.3715 level.
The main support level is at $0.3420. If there is a break below the $0.3420 support level, the price could decline further. In the above case, the price could drop to $0.3150 or even $0.300 in the near term.
Technical indicators
Hourly MACD – The MACD for DOGE/USD is currently losing momentum in the bullish zone.
Hourly Relative Strength Index (RSI) – The RSI for DOGE/USD is currently above the 50 level.
Major support levels – $0.3870 and $0.3715.
Major resistance levels – $0.4000 and $0.4150.