20 September 2023
Dogecoin is recovering higher from the $0.060 level against the US Dollar. DOGE could continue to rise if it clears the $0.0640 resistance zone.
DOGE started a decent increase above the $0.0615 resistance against the US dollar.
The price is trading above the $0.062 level and the 100 simple moving average (4 hours).
There is a key rising channel forming with resistance near $0.0640 on the 4-hour chart of the DOGE/USD pair (data source from Kraken).
The price could struggle to clear the $0.0638 and $0.0640 resistance levels.
Dogecoin Price Starts Recovery
After a major decline, Dogecoin price found support near the $0.0595 zone. DOGE traded as low as $0.0591 and recently started a recovery wave. There was a decent move above $0.0600 and the price settled above $0.0612.
Recently, Bitcoin saw a steady increase above $27,000 and helped altcoins in recovery. Dogecoin is also showing a few positive signs and was able to clear the $0.062 resistance. There was a move above the 23.6% Fib retracement level of the downward move from the $0.0685 swing high to the $0.0591 low.
DOGE is now trading above the $0.062 level and the 100 simple moving average (4 hours). On the upside, the price is facing resistance near the $0.0638 level. It is close to the 50% Fib retracement level of the downward move from the $0.0685 swing high to the $0.0591 low.
The first major resistance is near the $0.0640 level. Besides, there is a key rising channel forming with resistance near $0.0640 on the 4-hour chart of the DOGE/USD pair.
Source: DOGEUSD on TradingView.com
A close above the $0.0620 resistance might send the price toward the $0.0670 resistance. The next major resistance is near $0.0685. Any more gains might send the price toward the $0.072 level.
Are Dips Supported in DOGE?
If DOGE’s price fails to gain pace above the $0.0640 level, it could start a downside correction. Initial support on the downside is near the $0.0620 level.
The next major support is near the $0.060 level. If there is a downside break below the $0.060 support, the price could decline further. In the stated case, the price might decline toward the $0.0565 level.
Technical Indicators
4 Hours MACD – The MACD for DOGE/USD is now losing momentum in the bullish zone.
4 Hours RSI (Relative Strength Index) – The RSI for DOGE/USD is now above the 50 level.
Major Support Levels – $0.0620, $0.0600, and $0.0565.
Major Resistance Levels – $0.0638, $0.0640, and $0.0685.