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With the bullish trend faltering, Dogecoin (DOGE) is hovering near the psychological mark of $0.10. Will this lead to a significant downturn?
As the bullish trend in meme coins continues in the low-cap coins, the top coins find a bearish opposition. While the meme coin segment drops below the $50 billion market cap threshold, Dogecoin, the segment leader, is experiencing a slowdown.
With Dogecoin failing to lift off, the meme coin hibernates after a crucial breakout run. Will the meme coin manage a post-retest reversal for a bull run ahead?
Dogecoin Price Analysis
In the daily chart, the Dogecoin price action reveals a bullish breakout of a medium-term resistance trendline. This marks a bullish breakout of a falling-wedge pattern.
However, the breakout rally struggles to gain sustained momentum as the broader market remains volatile. During the market’s correction phase, Dogecoin is undergoing a retest of the broken trendline, causing its price to move laterally near the 50-day exponential moving average (EMA).
Despite increasing volatility and uncertain price movement, Dogecoin maintains its position above the $0.10 psychological mark. Currently, it is trading at $0.10739, reflecting an intraday pullback of 0.92%. This pullback follows a 2.83% drop the previous night. Meanwhile, Dogecoin still boasts an impressive 12% month gain.
Where’s Dogecoin Headed?
Amid the resurfacing selling pressure, Dogecoin is losing grip over the 50-day EMA. The MACD indicator shows a declining trend on the average lines with the rising intensity of bearish histograms. Hence, the technical and momentum indicators give a sell signal for Dogecoin.
The meme coin trades between the support level of $0.09783 and a resistance ceiling of $0.14026. In the event of a bullish breakout, the next target for Dogecoin would be the 200-day EMA at $0.1170.
Meanwhile, if the $0.10 psychological support breaks down, a continuation of the bearish trend will likely challenge the $0.09783.