Dogecoin price has broken key support levels and is currently trading below its 100-hour moving average. Bearish technical indicators suggest a risk of further short-term downside.
The cryptocurrency broke below a key bullish trend line on the hourly chart, following broader weakness observed in the Bitcoin (BTC) and Ethereum (ETH) markets.
Dogecoin Price Falls 6% in 24-Hour Trading
Doge (DOGE) has fallen through several support levels, establishing a new low. It is now trading below the 23.6% Fibonacci retracement level of the move from the recent swing high to that low. The price remains under the 100-hour simple moving average, which is situated at 13 cents.
Immediate upside resistance is identified near recent minor resistance levels. The first major resistance is positioned around the 50% Fibonacci retracement of the recent decline. A sustained price increase above this level could potentially lead to further gains toward higher resistance targets.
Conversely, continued failure to climb above these identified resistance levels may result in additional downward pressure on the price. Initial downside support is located near the recent low. A larger support level is positioned below this, and a break of that support could lead to further losses toward lower price levels in the near term.
Technical indicators are signaling bearish momentum. The MACD is gaining strength in the bearish zone, and the Relative Strength Index (RSI) is below the 50 level. These indicators suggest that the momentum is currently favoring further price declines if support levels are breached.