• Dogecoin price is trading above a demand zone, extending from $0.224 to $0.289.
  • If the bid orders pile up, DOGE could rally 37% to tag $0.40.
  • A decisive close below $0.212 will invalidate the upswing narrative and kick-start a sell-off.

Dogecoin price is fast approaching a critical demand zone that will decide the meme coin’s fate for the foreseeable future. A bounce from this pivotal area will allow buyers a chance to push DOGE to pre-crash levels and higher, but a failure will take it to lows last seen in mid-April.

Dogecoin price at crossroads

Dogecoin price has dropped roughly 32% since May 20. The crash on May 19 seems to have taken a massive toll on altcoins, which have plummeted between 50% and 70%, undoing almost all of the gains accrued over the past year.

After the recent downfall, DOGE is currently hovering above a support area that stretches from $0.224 to $0.289. This demand zone is a perfect setup for the buyers to make a comeback. A potential spike in buying pressure that causes Dogecoin price to bounce from the aforementioned floor might trigger a 37% upswing to $0.40.

If the bullish momentum persists after hitting this point, investors could see the meme-themed cryptocurrency rally another 21% to tag the lower boundary of the supply area ranging from $0.481 to $0.515.

DOGE/USDT 12-hour chart

DOGE/USDT 12-hour chart

The upswing narrative detailed above depends on the assumption that the buyers manage to pull their act together and bounce from the demand zone, extending from $0.224 to $0.289. If the bulls fall short or fail to produce enough momentum to trigger an upswing, a sell-off will likely ensue.

While a breakdown of the $0.224 level will extinguish the bulls’ hope of a rally, a decisive 12-hour candlestick below the support floor at $0.212 will invalidate the bullish thesis.

In such a case, market participants could see Dogecoin price fall 25% to tag the first meaningful demand level at $0.159, a breakdown of which will result in a brutal crash to the support area ranging from $0.106 to $0.145, formed during mid-April.


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.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Crypto Today: Bitcoin, Ethereum and XRP what to expect as SEC executive says Howey test applies to cryptos

Crypto Today: Bitcoin, Ethereum and XRP what to expect as SEC executive says Howey test applies to cryptos

Bitcoin trades above $62,500 on Monday, sustains above key support as head of US SEC enforcement division says Howey test applies to cryptos. Ethereum and XRP trade above key support, extending gains by nearly 3% on the day. 

More Cryptocurrencies News

Ripple whales buy hundreds of millions of XRP tokens as the altcoin rallies

Ripple whales buy hundreds of millions of XRP tokens as the altcoin rallies

Ripple (XRP) noted the highest weekly gains in 2024 over the weekend as XRP holders celebrated the one-year anniversary of Judge Torres’ ruling in the SEC vs. Ripple lawsuit. XRP rallied to a peak of $0.5661 on Saturday, July 13. 

More Ripple News

Bitcoin surges past $60,000 as ETFs report $1.04 billion inflows last week

Bitcoin surges past $60,000 as ETFs report $1.04 billion inflows last week

Bitcoin breached above the descending trendline on Sunday and trades 3.5% up at $62,924 at the time of writing on Monday. On-chain data indicates a decrease in miners' selling activity, complemented by US spot Bitcoin ETFs recording $1.047 billion in inflows last week. 

More Bitcoin News

JasmyCoin price surges following partnership with NOWPayments

JasmyCoin price surges following partnership with NOWPayments

JasmyCoin price breaks above a descending channel, signaling a break in market structure from bearish to bullish. NOWPayments announces its partnership with JASMY in Japan. JASMY featured in a Forbes article for coins outperformed Bitcoin in the first half of 2024.

More Cryptocurrencies News

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows.

Read full analysis

BTC

ETH

XRP