Most major cryptocurrencies have continued to record losses, including Dogecoin, which now appears weak after witnessing a notable gain in late October. It has dropped by 35% over the past seven days as bearish sentiments remain dominant. While the pressure is calm, the crypto is now consolidating in the lower time frame.
On Wednesday, Dogecoin found a temporal low at $0.071 level after losing the $0.11 psychological level. This low has held selling pressure so far and has produced a mild recovery which made the price touch a $0.094 high over the past hours. After failing to increase further, the price is now stuck trading between this mentioned low and high.
It is currently deciding on the next primary direction as trading activity drops. As soon as volatility expands, we can expect the price to rally quickly. A strong recovery above the mentioned high should give the buyers the green light for reversal. The market is most likely to regain momentum if that happens.
If Dogecoin loses momentum, the suspended selling actions will resume in no time. The scenario would become ugly until it finds support nearby to hold pressure. The $0.049 level – which serves as the yearly support – would be the last hope for the long-term bulls.
However, the price remains trapped in a wedge.
Dogecoin Price Analysis (DOGEUSDT): 4-Hour Chart
The latest reduction in price is causing a lot of panic and fear in the market. The $0.071 support level may fail if the sellers mount pressure again. Nevertheless, the support level to watch along the way is $0.0611 and potentially $0.054.
Above the $0.094 resistance level lies $0.125. In case of a further increase, the next major resistance to keep in mind is the $0.15 level, followed by the monthly high of $0159. As of now, the price is still trapped in the descending wedge.
Key Resistance Levels: $0.094, $0.125, $0.15
Key Support Levels: $0.071, $0.0611, $0.057
- Spot Price: $0.0822
- Trend: Bearish
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news!