Dogecoin Price Analysis: DOGE still holds above $0.165, slow reversal to follow?

TL;DR Breakdown

• Dogecoin price analysis is bullish today.
• DOGE/USD retested the previous low yesterday.
• Closest resistance at $0.175 local highs.

Dogecoin price analysis is bullish today as we expect another test of upside to follow after the $0.165 support was quickly tested with a strong reaction higher. Therefore, DOGE/USD has established a strong support base from which to reverse in a major way.

The cryptocurrency market has seen bearish momentum return over the last 24 hours. The market leader, Bitcoin and Ethereum, have lost 2.69 and 2.08 percent, respectively. Meanwhile, the rest of the top altcoins follow with similar results.

Dogecoin price movement in the last 24 hours: Dogecoin consolidates around $0.17

DOGE/USD traded in a range of $0.1673 – $0.174, indicating mild volatility over the last 24 hours. Trading volume has declined by 5.94 percent, totaling $545.66 million. Meanwhile, the total market cap trades around $22.77 billion, ranking the coin in 12th place overall.

DOGE/USD 4-hour chart: DOGE looks to reverse?

On the 4-hour chart, we can see the Dogecoin price action has established a strong base above $0.165, likely meaning the market is ready to reverse.

Dogecoin price saw strong bullish momentum last week lead to a strong major higher high set at $0.195 on the 24th of December. However, after several attempts to reach further heights, DOGE/USD set a clear lower high on the 27th of December.

From there, DOGE saw a sharp selloff begin, initially leading to $0.18. More downside followed on Tuesday, leading to a drop to $0.165, which is the current weekly low.

After a slight recovery to $0.175, another retest of the support followed late yesterday. More downside was quickly rejected, indicating a potential reversal incoming over the next days.

Dogecoin Price Analysis: Conclusion 

Dogecoin price analysis is bullish today as we expect further recovery to follow after another rejection of downside was seen yesterday. Likely, DOGE/USD has established a strong enough base to reverse in a major way over the next days. 

While waiting for Dogecoin to move further, see our articles on crypto tax-loss harvesting, BTC-backed mortgage services, and Pi Wallet.