Today, Dogecoin (DOGE) price dropped to the key support level at $0.12. Buyers are trying to push the altcoin back up.
Dogecoin (DOGE) price long term forecast: bearish
On February 28, DOGE price rose back above the $0.12 support level, but remained stuck at the 21-day moving average line or the $0.13 high. DOGE turned away from the moving averages and returned to the $0.12 support. Support at $0.12 has held since the January 22 dip. On the downside, the market will fall back to the low at $0.10 if the bears break the current support. On the upside, a strong move above current support will push DOGE above the moving averages. The bullish momentum will extend to the high at $0.17.
Dogecoin (DOGE) indicator reading
The cryptocurrency is at level 38 of the Relative Strength Index for the period 14. DOGE is in the downtrend zone and below the midline 50. It is capable of further upward movement, but the altcoin is holding above the support of $0.12. The altcoin is above the 25% area of the daily stochastic. The market has resumed its bullish momentum.
Technical Indicators:
Key resistance levels – $0.80 and $0.85
Key support levels – $0.45 and $0.40
What is the next direction for Dogecoin (DOGE)?
Dogecoin is in a downtrend, but the market has reached its bearish exhaustion. Today, the price of DOGE has fallen to the previous low of $0.12 as buyers try to push the price up. Meanwhile, on February 12, the downtrend; a retraced candlestick tested the 61.8% Fibonacci retracement level. The retracement suggests that DOGE will fall to the 1.618 Fibonacci extension level or the $0.12 level. The price action shows that Dogecoin is retesting the 1.618 Fibonacci extension or the $0.12 low.
Disclaimer. This analysis and forecast are the personal opinions of the author are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
Source: https://coinidol.com/doge-price-risks-decline/