Dogecoin Price Forecast: DOGE to retest critical support before overcoming doubt

  • Dogecoin price thrilled investors after posting a 17% surge on July 26.
  • Following the swing high, DOGE has wiped out most of those gains as it retraces.
  • Essential levels of support are expected to be retested before Dogecoin price reveals its next move.

Dogecoin price has formed an uptrend since July 21, breaking out from a downward trapped DOGE for nearly a month. The canine-themed cryptocurrency recorded a swing high at $0.23, however, it is expected to retrace and test crucial levels of support before revealing directional intentions. 

Dogecoin price stuck between two significant levels

Dogecoin price has been sealed in a descending parallel channel on the daily chart that emerged on June 27 and continued to confine DOGE until July, when it finally closed above the upper boundary of the chart pattern.

Another parallel channel was drawn above the current technical pattern to give Dogecoin price a measured target. DOGE exceeded expectations as it briefly traded 6% above the topside trend line of the channel, before failing to close above it as well as the 38.2% Fibonacci extension level at $0.20.

Dogecoin price appears to be enduring a retracement that usually follows a swing high, and could be due to retest critical support areas. DOGE appears to be stuck within the 38.2% Fibonacci extension level and the 23.6% Fibonacci level at $0.19, which acts as the first line of defense.


DOGE/USDT daily chart

Adding credence to the meaningful support is the 200-day Simple Moving Average (SMA), which is nearing $0.19. DOGE could be expected to reexamine its support before showing clearer indications of future price moves. 

Although Dogecoin price is witnessing a slight retracement from its swing high, the aforementioned lines of defense should act as strong support for DOGE. However, if selling pressure were to see a spike, the coin could fall within the demand barrier, which extends from $0.16 to $0.18.

Dogecoin price would open up the possibility of further gains should DOGE be able to close above the 23.6% Fibonacci extension level at $0.19. 

Adding credence to the bullish thesis is the Relative Strength Index (RSI), which suggests that the canine-themed cryptocurrency was not facing overbought conditions at the swing high on July 26, further indicating that Dogecoin price has room for more upside potential. 

Investors should wait for a clear indication of higher volume to indicate accelerated interest and buying pressure before the bullish theory can be confirmed.


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

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC scales higher, taking altcoins with it

Bitcoin price exuded bullishness over the past week as it continued to rally without significant corrections. As a result, Ethereum, Ripple and other altcoins have followed suit. Although the entire market looks bullish at the time of writing, things could turn awry if BTC witnessed a September 7-style crash.

More Bitcoin News

Dogecoin killer Shiba Inu ready for new bull run

Shiba Inu gets listed on Binance.US, SHIB price recovers from the loss posted over the past week. The Shiba-Inu-themed token is one of the top 10 most mentioned cryptos on Twitter alongside BTC, ETH, DOGE, ADA. Shiba Inu CEO reveals that Shibarium, Shiba L2 using Bone as native token, is currently under development.

More Dogecoin News

AVAX price to hit new all-time high at $80 as Avalanche bulls take over

AVAX price rose exponentially after breaking out of a crucial resistance level on September 10. However, this uptrend was cut short as the markets collapsed on September 12, which led to a quick retracement. However, Avalanche seems to be back on track and ready to continue its rally.

More Cryptocurrencies News

XRP price awaits 26% upswing, but stiff hurdles may blindside Ripple bulls

XRP price appears to be headed for a 26% climb, but the hopes of a Ripple rally could be hampered by the multiple resistances that stand in the way of the bullish target. The cross-border remittance token could find substantial support, should the optimistic outlook be ruined. 

More Ripple 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