Key Insights
- •Dogecoin’s hourly chart shows a death cross, indicating short-term selling pressure and weakening bullish momentum.
- •Price declined after a mid-January peak, aligning with reduced market risk appetite and absence of strong buying interest.
- •A technical rebound requires a break above $0.16, potentially opening the path toward $0.20 and higher resistance zones.
Dogecoin’s price action recently flashed a bearish technical signal as the 50-hour moving average fell below the 200-hour moving average. This pattern, known as a “death cross,” often points to short-term selling momentum. The move came despite broader optimism from higher time frame indicators, including an inverse head-and-shoulders formation that traditionally suggests upward movement.
After climbing at the start of 2025, Dogecoin began to lose ground during the week of January 6 to 12. The price spiked to $0.151 on January 13 but quickly reversed, initiating a four-day decline. As of the latest data, DOGE was trading at $0.1377, reflecting a 0.12% daily decrease and a 1.51% weekly loss.
Market Sentiment Cools Across Crypto Sector
The recent downturn aligns with a broader slowdown in market risk appetite. Traders are increasingly quick to sell into rallies due to the lack of fresh catalysts. Overall, capital continues to rotate selectively, and leverage across the market is resetting, adding further caution to short-term trading behavior.
Technical analysts now view the $0.16 price level as a critical barrier. A successful breakout above this threshold could shift momentum in favor of buyers. If Dogecoin holds above this zone, it may climb toward $0.20, and from there, potentially target $0.27 and $0.30.
Broader Trends and Indicators Guide Outlook
Momentum indicators such as the Relative Strength Index (RSI) currently suggest continued range-bound trading. Despite long-term bullish patterns, the short-term setup remains fragile. The upcoming release of the U.S. Personal Consumption Expenditures index may influence overall market direction, which could affect Dogecoin's performance.