Dogecoin Drops 6% as Bearish Momentum Builds

Dogecoin (DOGE) is currently trading around $0.218, marking a decline of over 6% in the last 24 hours. This drop has pushed the price sharply below the critical $0.225–$0.230 range, following a promising rally earlier this month. The recent price action indicates increasing bearish momentum, although bulls are still holding short-term support above $0.216.

On the 4-hour chart, Dogecoin's price fell after retesting the $0.2345 resistance zone and is now trading near a key support level around $0.2160. This area has been tested several times over the past week and marks a potential decision point. The EMA20 and EMA50 on the 4H chart sit just above the price, confirming that short-term pressure remains on the downside.

The weekly Fibonacci retracement from the November high to the March low shows that DOGE has been struggling to maintain levels above the 0.236 zone ($0.2136). A weekly close below this level would confirm a failed breakout, increasing the likelihood of a pullback to deeper support around $0.20–$0.21.

The weakness in Dogecoin's price today is driven by a convergence of technical resistance and fading bullish momentum. The 30-minute RSI is sitting near 37.88, indicating bearish divergence after failing to reclaim the overbought territory from earlier in the week. MACD on the same timeframe also confirms a bearish crossover, with the histogram declining steadily for the past three sessions.

Bollinger Bands on the 4-hour chart are starting to tighten again, following a volatility spike during last week’s rally. This compression suggests that Dogecoin price volatility may remain subdued unless a decisive breakout occurs. The Ichimoku Cloud on the 30-minute chart adds to the caution, as the price is now trading below the cloud, with the Tenkan-Sen and Kijun-Sen also pointing downward. The Chikou Span is aligned with recent candles, suggesting weak trend continuation rather than reversal. Overall, this setup favors range-bound to bearish continuation unless volume confirms a reversal.

Despite the selloff, Dogecoin price action is still above a broader support cluster between $0.2107 and $0.2160, a region that coincides with the lower Bollinger Band and key EMA zones. Price also aligns with the 100 EMA at $0.2107 on the 4-hour chart. A breakdown below this would expose DOGE to a retest of its 200 EMA near $0.1977.

The daily chart reveals that DOGE is still trading within a falling wedge structure from its February peak. A breakout above the wedge and reclaiming $0.2345 would be necessary to reestablish bullish control. Until then, price remains capped by supply zones overhead and trendline resistance.

If Dogecoin price fails to hold the $0.2160 support zone, the next major downside target lies around $0.2100–$0.2120, followed by the $0.1970–$0.2000 range, where long-term moving averages converge. On the upside, a move back above $0.2230 would be the first signal of a recovery, but bulls must clear $0.2345 with strong volume for sustained upside. Without that, price may remain range-bound or trend lower into late May.

With RSI near oversold, MACD fading, and Ichimoku trends weakening, the near-term bias tilts bearish unless DOGE sees a decisive bounce with rising volume and structural support at $0.2160 holds firm.

In summary, Dogecoin's price is facing significant bearish pressure, with key support levels being tested. The technical indicators suggest a cautious outlook, with the potential for further declines if support levels are breached. However, a decisive bounce with rising volume could signal a reversal and a move back towards resistance levels.