Dogecoin targets $0.5 as DOGE finds dip buyers

• Dogecoin price smacked lower after tagging the $0.34 value area.
• Dogecoin finds buyers as selling momentum dries up.
• Breakout ahead of bulls can position Dogecoin into an Ideal Bullish Ichimoku Breakout entry condition.

Dogecoin price is down nearly 21% since tagging the $0.34 value area. Sellers had pushed Dogecoin to a 26% loss from $0.34, but buyers stepped in.

Dogecoin price ping-pongs between support and resistance, look for a breakout

Dogecoin price is in its third consecutive day of testing the weekly Tenkan-Sen (thick blue line) as support. While short-sellers have been able to pressure Dogecoin lower, buyers have swiftly come into return Dogecoin above that weekly Ichimoku level.

For Dogecoin price to enter into an indisputable bull market, it will need to fulfill all the Ideal Bullish Ichimoku Breakout requirements. For that to occur, Dogecoin needs to be above the Cloud and above the daily Tenkan-Sen and Kijun-Sen. A daily close at or above $0.28 will fulfill all those requirements.  From there, the road to $0.50 becomes much more precise and much easier to reach.

However, downside risks to exist and should be watched. Dogecoin price has some bearish elements in its oscillators that suggest some further movement south could be coming. The Relative Strength Index has not converted back into a bull market, and it has consistently been rejected from moving higher at the final overbought level of 65. Additionally, the Composite Index failed to complete a bullish crossover of its two moving averages.

DOGE/USDT Daily Ichimoku Chart

A daily close below the Cloud and the 38.2% Fibonacci retracement at $0.23 would invalidate any near-term bullish sentiment for Dogecoin price and likely initiated renewed bearish selling pressure towards $0.18.