Dogecoin (DOGE) Nosedives Toward $0.20—More Pain Ahead?

Dogecoin started a fresh decline below the $0.250 zone against the US Dollar. DOGE tested $0.2050 is now consolidating below the $0.2250 resistance.

• DOGE price started a fresh decline below the $0.260 and $0.250 levels.
• The price is trading below the $0.2380 level and the 100-hourly simple moving average.
• There is a connecting bearish trend line forming with resistance at $0.2180 on the hourly chart of the DOGE/USD pair (data source from Kraken).
• The price could start a recovery if it clears the $0.2180 and $0.2200 resistance levels.

Dogecoin price started a fresh decline below the $0.2650 zone, unlike Bitcoin and Ethereum. DOGE dipped below the $0.260 and $0.250 support levels. It even spiked below $0.2150.

A low was formed at $0.2052 and the price is now consolidating losses. There was a move above the $0.2080 level, but the price remained below the 23.6% Fib retracement level of the downward move from the $0.2609 swing high to the $0.2052 low.

Dogecoin price is now trading below the $0.2250 level and the 100-hourly simple moving average. Immediate resistance on the upside is near the $0.2150 level. The first major resistance for the bulls could be near the $0.2180 level.

There is also a connecting bearish trend line forming with resistance at $0.2180 on the hourly chart of the DOGE/USD pair. The next major resistance is near the $0.2250 level.

A close above the $0.2250 resistance might send the price toward the $0.2330 resistance and the 50% Fib retracement level of the downward move from the $0.2609 swing high to the $0.2052 low. Any more gains might send the price toward the $0.250 level. The next major stop for the bulls might be $0.2620.

If DOGE’s price fails to climb above the $0.2180 level, it could start another decline. Initial support on the downside is near the $0.2065 level. The next major support is near the $0.2050 level.

The main support sits at $0.20. If there is a downside break below the $0.20 support, the price could decline further. In the stated case, the price might decline toward the $0.1880 level or even $0.1740 in the near term.

Technical Indicators

Hourly MACD – The MACD for DOGE/USD is now gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now below the 50 level.

Major Support Levels – $0.2050 and $0.2000.

Major Resistance Levels – $0.2180 and $0.2250.