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Despite stalled momentum and fading volume, Dogecoin ($DOGE) has begun to flash its first technical reversal signal in weeks. Although the price action remains within a tight consolidation range, the underlying indicators suggest that selling pressure is finally exhausting, pointing toward a high-probability bounce that could kickstart a structural recovery.
Doji Reaction Sparks Hope For A Reversal
According to Umair Crypto, Dogecoin slipped below the $0.14 mark but managed to close the last candle with a notable reaction, forming a doji that reflects market indecision. This candle is now attempting to reclaim the RSI trendline, hinting at a possible shift in momentum. A sustained recovery above the key $0.17 level, which aligns with the swing’s golden pocket, would strengthen the case for a bullish reversal.
Despite this technical hint, volume remains a major concern. Trading activity is still weak, suggesting that buyers have not fully committed to any upside attempt. Without a clear increase in volume, any bounce may struggle to sustain follow-through, leaving the market vulnerable to renewed selling pressure.
Another factor adding weight to the uncertainty is the looming death cross setup. Historically, Dogecoin tends to show a brief upside move before the death cross fully plays out to the downside. If price action continues to soften while moving into this crossover signal, the bears may regain short-term control.
A failure to secure the $0.17 level would significantly increase the probability of a new lower low forming. However, if the $0.17 threshold is reclaimed and held convincingly, it could open the door to higher highs in the sessions ahead.
Bullish Peaks Fade: $DOGE Slips Into A Controlled Downtrend
In a more recent update from BitGuru, Dogecoin’s structure appears to be shifting once again. The chart highlights two notable bullish cycles where $DOGE surged to $0.25 and $0.26 before momentum faded, giving way to a broader downtrend. These swings reflect how quickly enthusiasm can return to $DOGE, even in a corrective market.
Dogecoin has now slipped back into a critical support zone near $0.14682, a level that has previously served as a base for price reactions. The market is exhibiting early signs of stabilization in this area, indicating that buyers are starting to assess the strength of this support. How $DOGE behaves here could shape the overall direction of its next major move.
If the support holds firm, the probability of a short-term rebound increases, potentially sending $DOGE toward its next resistance area. However, if it fails, the downtrend may deepen, signaling that sellers remain firmly in control.
