- Dogecoin price has been struggling to breach the $0.0914 resistance support.
- In order to mark an 18.5% rise, DOGE needs to generate buying pressure.
- Invalidation of the bullish thesis could see DOGE breaking down from the critical support at $0.0783.
Dogecoin price has been following the broader market cues, but with recovery taking a while, DOGE has ended up moving sideways. This movement is expected to build bullish momentum, which could take the altcoin to $0.1000, provided it can flip these resistance levels into support levels.
Dogecoin price needs a boost
Dogecoin price declined by almost 43% following the broader market crash caused by FTX's collapse. The altcoin formed a lower low at $0.0790 and has since been on a gradual rise. Currently trading at $0.0850, the meme coin needs the bulls' support to push it back up.
As visible on the Relative Strength Index (RSI), the buying pressure has not been increasing significantly, keeping the altcoin stuck under the $0.0914 resistance level. If this changes and an influx of buying is noted, DOGE could retest the $0.0914 resistance level a further time, potentially breaking above and even flipping it into support.
Although, it will still need to breach through the inefficiency at $0.0962, labeled as the Fair Value Gap (FVG). If it can, and it rises above this price point, it will be closer to achieving its 18.5% rally and tagging $0.1000.
DOGEUSD 4-hour chart
However, investors expecting 100% good news must hold off before investing as the crypto market is still pretty vulnerable to corrections. Thus, if the bullish outlook fails and prices begin trending downward, DOGE could be looking to test its immediate support level at $0.0783.
A bounce off it would place it back in the consolidation within its current range of immediate resistance and support. But a further breakdown would lead to the cryptocurrency falling to the $0.0729 low.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.