Dogecoin formed a base near $0.066 and started a fresh rise against the US Dollar. DOGE might rise further if there is a close above the $0.080 resistance.
- DOGE picked up steam and traded above the $0.075 resistance against the US Dollar.
- The price is trading above the $0.0750 area and the 100 simple moving average (4-hours).
- A key bullish trend line is forming with support near $0.0740 on the 4-hours chart of the DOGE/USD pair (data source from Kraken).
- The pair might rise further if there is a clear close above the $0.080 resistance.
Dogecoin price signals an uptrend
After a sharp decline, dogecoin price found support near the $0.066 area. DOGE remained well bid and started a steady rise above the $0.068 resistance.
There was a clear move above the $0.070 resistance zone to set the tone for a decent rise. The price cleared the 23.6% Fib retracement level of the key swing decline from $0.1402 to $0.0658 low. The price is now trading above the $0.0750 area and the 100 simple moving average (4-hours).
There is also a key bullish trend line forming with support near $0.0740 on the 4-hours chart of the DOGE/USD pair. Over the past few sessions, Doge has seen bullish moves above $0.075, similar to Bitcoin and Ethereum.
On the upside, the price is facing resistance near the $0.080 level. The first major resistance is near the $0.0820 level. A clear move above the $0.082 resistance could send the price towards the $0.088 resistance. It is near the 50% Fib retracement level of the key swing decline from $0.1402 to $0.0658 low.
Source: DOGEUSD on TradingView.com
Any further gains could send the price towards the $0.090 level. A clear move above the $0.090 resistance could open the doors for a rally towards the $0.100 level.
Limited dips in DOGE?
If the DOGE price fails to break above the $0.082 level, it might trigger a downside correction. An initial support on the downside is near the $0.0765 level.
The next major support is near the $0.074 level and the trendline. If there is a downside break below the $0.074 support, the price could decline further. In the indicated case, the price might decline towards the $0.070 level.
Technical indicators
4 Hour MACD – The MACD for DOGE/USD is now gaining momentum in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Main support levels – $0.0765, $0.0740 and $0.0700.
Main resistance levels – $0.080, $0.0850 and $0.088.
