Dogecoin Drops 4% Below $0.1720, Aims for Recovery

Dogecoin (DOGE) has recently experienced a decline, falling below the $0.1720 mark against the US Dollar. The cryptocurrency tested the $0.1650 level and is now attempting to recover towards $0.180. The price of DOGE is currently trading above the $0.170 level and the 100-hourly simple moving average. There is a connecting bullish trend line forming with support at $0.1680 on the hourly chart of the DOGE/USD pair.

Dogecoin's price started a fresh decline below the $0.1750 zone, similar to Bitcoin and Ethereum. DOGE dipped below the $0.1720 and $0.1700 support levels, even spiking below $0.1650. A low was formed at $0.1646, and the price is now attempting a strong comeback. There was a move above the $0.1680 level, with the bulls pushing the price above the 50% Fib retracement level of the downward move from the $0.1791 swing high to the $0.1646 low.

Immediate resistance on the upside is near the $0.1755 level or the 76.4% Fib retracement level of the downward move from the $0.1791 swing high to the $0.1646 low. The first major resistance for the bulls could be near the $0.1780 level. The next major resistance is near the $0.1800 level. A close above the $0.1800 resistance might send the price toward the $0.1850 resistance. Any more gains might send the price toward the $0.2000 level. The next major stop for the bulls might be $0.2050.

If DOGE’s price fails to climb above the $0.1755 level, it could start another decline. Initial support on the downside is near the $0.1720 level. The next major support is near the $0.1680 level. The main support sits at $0.1650. If there is a downside break below the $0.1650 support, the price could decline further. In the stated case, the price might decline toward the $0.1620 level or even $0.1550 in the near term.

Technical indicators show that the MACD for DOGE/USD is now losing momentum in the bearish zone, while the RSI for DOGE/USD is now above the 50 level. Major support levels are at $0.1680 and $0.1650, while major resistance levels are at $0.1755 and $0.1800.

According to the analyst's forecast, Dogecoin is gearing up for a move, with the potential for a significant recovery if it can clear the $0.1750 and $0.1800 resistance levels. However, if it fails to do so, it could face another decline, with support levels at $0.1720, $0.1680, and $0.1650. The next major stop for the bulls might be $0.2050, while the price could decline toward the $0.1620 level or even $0.1550 in the near term if it fails to hold above the $0.1650 support level.