- Dogecoin nears critical support at $0.14, with analysts eyeing a potential rebound toward the $0.30 mark.
- DOGE is consolidating near $0.1730, as technical indicators hint at a breakout from tight EMA clustering.
- A successful hold above the ascending trendline and 50-day SMA could spark a bullish push past $0.21.
This week, Dogecoin (DOGE) has risen sharply to $0.18 during a larger rally in the crypto market. The upward momentum is cooled down and the coin has moved back to critical support levels. While this repair has been made, technical indicators can also signal that a short-term turnaround is still within the cards as analysts look to a possible surge up towards the $0.30 level.
DOGE continues to depict an upward trendline whose direction it has been following since its October 2024 price. According to crypto analyst Ali Martinez, this critical level is nearing a retest which may present a new opportunity to long-term traders.
Ali pointed out that a fall to $0.14 – the current level of the rising trendline could serve as the springboard of an impressive price rebound. If Dogecoin can hold this support, a rally up to $0.30 is possible, or almost a two-fold intake from the said low.
Can DOGE Reclaim the $0.21–$0.30 Range?
This prompted a low price of $0.164 for Dogecoin after three days of decline on May 6 before dropping to below the daily 50-day Simple Moving Average (SMA) of $0.169. However, it soon recovered, and now it has been on that level since April 22. RSI reveals that the DOGE may trade within a $0.14—$0.21 range in the short-term period while bullish momentum will seek to take the price back to $0.21.
If DOGE is able to break above the 50-day SMA, it can move up to the $0.21 level but there will be strong selling pressure around that price. A successful breakout would also pave the way to $0.2644 that coincides with daily 200-DAY SMA. On the other hand, failure to entail above the 50-day SMA may act as a trigger to fall back to the critical $0.14 support.
It seems that after dropping to $0.1680 the week before last, Dogecoin has found a base and moved into a consolidation mode between key technical levels. The analysts of the market assume that a breakthrough outside of this range may cause a forceful 14% increase, hence pushing the cryptocurrency towards the major psychological resistance at $0.20.
As of now, Dogecoin is trading around $0.1906 following a major recovery from surging 13% in 24 hours. The on-chain data indicate that DOGE is consolidating in a narrow price range. Specifically, the 20, 50, 100, and 200-period exponential moving averages are all clustering between $0.1716 and $0.1738 on the 4-hour chart, something that may represent an inflection point for price action in the future.
