Key Highlights
- Dogecoin price broke higher this past week, but failed to retain the bullish bias and traded down once again.
- There was a bearish trend line formed on the 4-hours chart (data feed from HitBTC), which was cleared to set the pace for more gains.
- The price is currently trading near 50.0 Satoshis, which is a monster support area for the bulls in the near term.
Dogecoin price traded towards 64.0 Satoshis, but found sellers. The price is currently trading near a major support area. Can the bulls defend it?
Can Dogecoin Price Gain Momentum?
Dogecoin price traded positively during the start of this past week and broke a major bearish trend line formed on the 4-hours chart (data feed from HitBTC). Moreover, the price also moved above the 100 simple moving average on the same chart and traded close to the 64.0-65.0 Satoshis area where it found sellers.
The price traded down sharply to lose all its gains and even broke the 76.4% Fib retracement level of the last leg from the 50.0 Satoshis to 63.4 Satoshis. The broken trend line and the 100 SMA is currently providing support to the price. However, the most important support is near 50.0 Satoshis, which acted as a support on many occasions and may continue to do so.
So, there is a chance of the price moving back higher in the near term as long as it stays above the stated monster support area of 50.0 Satoshis. If you are looking to buy, then a stop should be placed a few points below the stated level.
Looking at the indicators:
4-hours MACD – The MACD is in the bearish zone, but it looks it may change the slope towards bullish soon.
4-hours RSI – The RSI is below the 50 level, which is a sign that the bulls are struggling to keep the pace.
Intraday Support Level – 50.0 Satoshis
Intraday Resistance Level – 55.0 Satoshis
Charts from HitBTC hosted by Trading View
