• Dogecoin price has been shaping a complex top with support holding for the last several days.
  • DOGE trades below the anchored VWAP, reinforcing the bearish turn in the outlook.
  • IntoTheBlock IOMAP data clearly illustrates significant resistance between $0.32 and $0.34.

Dogecoin price was not captivated by the Bitcoin spike of 30% since June 8, opting for consolidation above a short-term support level that will define the future of DOGE. A failure to maintain the support increases the probability that the meme token tests the May 19 low of $0.195.

Dogecoin price has no room for failures

Despite the impressive Bitcoin breach of the psychologically important $40,000, Dogecoin price has not leveraged the BTC rally for a sizeable rally. It is a disappointing response to the most important cryptocurrency event since the May 23 low. Such a withdrawal suggests that DOGE searches for a different catalyst or is more likely swayed by a bearish objective.

Dogecoin price has suggested many potential patterns since the May 19 crash, but none has carried the staying power to reach completion. Today, Dogecoin price illustrates a complex topping formation extending back to May 23, with a clear support line that DOGE is currently holding. The level marks a line in the sand for the altcoin and is the most important barrier to a test of $0.195.

A daily close below the June 13 low of $0.287 will free Dogecoin price to initiate the decline to the May 19 low. The May 23 low of $0.246 will be notable support, but the downside momentum accumulated in the complex topping process should best it.

After the May 19 low, Dogecoin price has a clear path to $0.195, representing a 36% decline from the support level. If the slide is within the context of a breakdown in the cryptocurrency complex, DOGE may target the 200-day simple moving average (SMA) at $0.143.

DOGE/USD daily chart

DOGE/USD daily chart

To shake up the bearish outlook, Dogecoin price will need a daily close above the anchored value-weighted average price (anchored VWAP) at $0.353. DOGE will still have overcome the 50-day SMA at $0.403 and the 2021 rising trend line at $0.426 before a credible bullish outlook can gain traction.

According to the current IntoTheBlock In/Out of the Money Around Price (IOMAP) data, Dogecoin price is suffocated by resistance (out of the money addresses) between $0.318 and $0.337, where 196.42k addresses hold 15.36 billion DOGE. 

The range reveals a challenging journey for Dogecoin to defeat the anchored VWAP at $0.353.

DOGE IOMAP - IntoTheBlock

DOGE IOMAP - IntoTheBlock

Conversely, the IOMAP shows no support (in the money addresses) down to $0.263, warning of a bearish outlook in the short term.

In the following video, FXStreet's analysts discuss the outlook for DOGE price and how Elon Musk might be the only one who can save DOGE from a crash.

Please follow the link for more timely cryptocurrency market intelligence.

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.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

MATIC price goes cold, as Polygon financial metric offers an interesting twist

MATIC price is up 47.66% since July 21, establishing one of the better rallies in the cryptocurrency complex over that time. The rally has placed Polygon at the junction of the symmetrical triangle’s apex with the 50-day SMA at $1.07. 

More Polygon news

Cardano price action and on-chain metric collide, reveals a complex situation for ADA

The price staged a rebound in Jul after dropping near the 38.2% Fib retracement at $0.971, marking the fifth consecutive month of a bullish reversal from the level. ADA has shaped a head-and-shoulders pattern with a measured move of approximately 60%.

More Cardano news

VeChain Price Forecast: VET postures for a 40% gain as energy builds

VeChain price has built on the rebound from the 50-week SMA, registering a 15.21% gain last week and closing July with a minor decline of -1.64%. The persistence of the Anchored VWAP has been containing a rally continuation since the July 26 high.

More VeChain news

Three reasons why Shiba Inu price will quickly drop 45%

Shiba Inu price has trended lower in a descending parallel channel since the May crash, offering only brief opportunities from low probability patterns or setups. The weak performance is a marked deviation from the extreme price events in early May.

More Shiba Inu news


Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast