- Dogecoin trades near $0.14750 support, forming a descending wedge, indicating a possible breakout if buying pressure increases.
- Key resistance levels are $0.46386, $0.55348, and $0.65421; a breakout above these could confirm bullish momentum toward higher targets.
- RSI at 59.60 and MACD bullish crossover suggest growing momentum; holding above Fibonacci support ($0.14-$0.17) is crucial.
Dogecoin is flashing bullish signals as it trades around the $0.14750 support level. Analysts suggest that maintaining this level is important for an upward move. A descending wedge pattern is forming, hinting at a potential breakout if buying pressure strengthens.
Key resistance levels include $0.46386, $0.55348, and $0.65421, with technical indicators aligning in for an upward move. The Relative Strength Index and Moving Average Convergence Divergence show growing bullish momentum. However, failure to hold support could lead to further consolidation before another attempt at a breakout.
Descending Wedge Pattern
Analyst Rose notes a descending wedge, a bullish reversal pattern with meeting trendlines. Historically, this pattern suggests a breakout to the upside if support holds. The Fibonacci retracement zone between $0.14 and $0.17 is a critical area where buyers might enter the market.
The lower trendline at $0.14 acts as a support level, while resistance levels are at $0.46386, $0.55348, and $0.65421. A successful breakout above the wedge could see Dogecoin targeting these levels in succession. The RSI is at 59.60, nearing overbought levels but still with potential for an upward movement.
The MACD has formed a bullish crossover, with the MACD line crossing above the signal line. Additionally, green histogram bars indicate strengthening bullish momentum. If Dogecoin maintains support above the Fibonacci zone, a price surge could follow.
Resistance and Support Levels to Watch
Dogecoin’s immediate resistance levels are important for its next move. According to Rose, The first take profit target is set at $0.48386, with the second (T2) at $0.55348 and the third (T3) at $0.65421.
These levels are potential resistance points where price action might slow before further gains. On the downside, the Fibonacci retracement zone of $0.14 to $0.17 is a major support area, with a failure to hold possibly leading to deeper consolidation.
Analyst Ali also noted an ascending channel pattern, supporting the bullish outlook if Dogecoin stays above $0.16. The channel’s lower boundary acts as strong support, while the upper boundary indicates a potential breakout point.
If the price surpasses $0.48, bullish momentum could extend toward $0.56 and higher. However, losing $0.16 could lead to a bearish move, testing lower support levels. As indicators lean bullish, monitoring price action for confirmation of a breakout is essential.
