Dogecoin is gaining bullish momentum above the $0.070 resistance against the US Dollar. DOGE might extend its rally into the $0.080 resistance zone.
- DOGE is currently showing positive signs above the $0.068 resistance against the US Dollar.
- The price is trading well above the $0.070 zone and the 100 simple moving average (4 hours).
- A major bullish trendline is forming with support near $0.070 on the DOGE/USD pair’s 4-hour chart (data source from Kraken).
- The pair could start another rally if it breaks the $0.0732 resistance zone.
Dogecoin price may rise more than 10%
After a downside correction, Dogecoin price found support near the $0.0680 zone. DOGE formed a base and recently started a new increase of $0.0675, outperforming Bitcoin and Ethereum.
In the past two sessions, there were bullish moves above the $0.070 resistance zone. The price climbed above the 50% Fib retracement level of the downward move from the $0.0750 swing high to the $0.0670 low. DOGE is now trading well above the $0.070 zone and the 100 simple moving average (4 hours).
A major bullish trendline is also forming with support near $0.070 on the DOGE/USD pair’s 4-hour chart. On the upside, the price is facing resistance near the $0.0732 level.
Source: DOGEUSD at TradingView.com
The 76.4% Fib retracement level of the downward move from the $0.0750 swing high to the $0.0670 low is also near the $0.0732 level. The first major resistance is near the $0.0750 level. A close above the $0.0750 resistance could push the price towards the $0.0780 resistance. The next major resistance is near $0.080. More gains could push the price towards the $0.082 level.
New decline in DOGE?
If the price of DOGE fails to rise above the $0.0732 level, it could trigger a downside correction. The first support on the downside is near the $0.070 level and trendline.
The next major support is near the $0.0675 level. If there is a downside break below the $0.0675 support, the price could move further down. In the said case, the price may fall towards the $0.0650 level.
Technical indicators
4am MACD – The MACD for DOGE/USD is now gaining momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Main Support Levels – $0.070, $0.0675 and $0.0650.
Key resistance levels – $0.0732, $0.0750 and $0.080.
