Dogecoin (DOGE) has strongly broken through the 0.160 USD mark against the US dollar, initiating a new round of upward momentum. Currently, the price of Dogecoin is in a consolidation phase, with a short-term target potentially challenging the resistance level of 0.1680 USD.
Price Trend Analysis
Dogecoin's price has recently performed strongly, breaking through the key resistance levels of 0.1520 USD and 0.160 USD, in sync with the upward trends of Bitcoin and Ethereum. The price once surged to 0.1699 USD and is currently stabilizing above 0.1650 USD, trading above the 100-hour simple moving average. From the hourly chart, DOGE/USD has formed a key bullish trend line, with support located near 0.1650 USD.
Resistance and Support
Upward Trend: Dogecoin's current resistance level is at 0.1680 USD, and if broken, it may test 0.1720 USD and 0.1750 USD. If it stabilizes at 0.1750 USD, it could challenge 0.1800 USD, and even look towards 0.2000 USD or 0.2120 USD.
Downside Risk: If it fails to break through 0.1680 USD, a pullback may occur. Initial support is at the 0.1660 USD trend line, followed by 0.1620 USD (61.8% Fibonacci retracement level). If it falls below the 0.1600 USD support, it may drop to 0.1500 USD or 0.1450 USD.
Over the past five days, Dogecoin has fluctuated mostly within a narrow range of 0.156 USD to 0.165 USD.
It is worth noting that after a significant pullback earlier this month, this meme coin has shown signs of stabilization, with bulls beginning to regain ground after dropping below the 0.17 USD mark. According to technical analysis of Dogecoin's price, reclaiming the 0.17 USD level is crucial. This technical backdrop lays the foundation for a projected price rise to 0.21 USD.
Cryptocurrency analyst Ali Martinez pointed out that Dogecoin triggered a bullish buy signal on the TD Sequential indicator in the 3-day candlestick chart, which is often used to identify trend reversals and buy/sell zones. However, Dogecoin needs to break through the 0.17 USD resistance level to confirm upward momentum, with a target potentially reaching 0.21 USD, which aligns precisely with the 0.618 Fibonacci extension line from the October 2023 low.
Despite the bullish technical signals, the low trading volume of Dogecoin is a key constraint.
According to data, its 24-hour trading volume is only 400 million USD, down 36.7% from the previous day, far below levels during the upward trend. The current price of Dogecoin is 0.1637 USD, with a slight increase of 1.7% within 24 hours. Without strong buying pressure and a rebound in trading volume, Dogecoin may continue to consolidate, or even face resistance again at 0.17 USD.