Dogecoin has been witnessing a recovery after dropping to the $0.1020 mark against the US Dollar. Currently, the cryptocurrency is displaying encouraging signs that it may overcome the $0.1165 resistance level.
The price of Dogecoin has recently increased above the $0.1100 resistance threshold. It is now trading above $0.1120 and above the 100-hour simple moving average. This upward movement is notable, as it followed a breakout above a significant bearish trend line situated at the $0.1100 resistance level. This trend shift suggests potential for further gains if the price can surpass additional resistance levels at $0.1165 and $0.1180.
After experiencing a decline towards the $0.100 support area, Dogecoin had reached a low of $0.1012 but is now on an upward trajectory similar to other major cryptocurrencies. Following this low, the price advanced past key resistance levels of $0.1060 and $0.1080, eventually moving above $0.1120. This price action indicates that Dogecoin has surpassed the 23.6% Fibonacci retracement level from its recent downward trend and is consolidating above the 100-hour moving average.
Immediate resistance is noted around the $0.1165 level, which also aligns with the 50% Fibonacci retracement from the previous downtrend. Should the price close above this resistance, it could pave the way toward the next resistance level near $0.1240, followed by a potential target of $0.1265. The bulls may set their sights on reaching as high as $0.1320.
Conversely, if Dogecoin fails to breach the $0.1165 level, it may experience another downturn. Initial support sits at $0.1120, followed by stronger support around $0.1100, with vital support at $0.1080. A drop below this critical threshold could lead to further declines, possibly testing levels as low as $0.1020 or $0.0980.
Technical analysis indicates that momentum is building positively, with the MACD showing bullish indicators and the RSI positioned above the neutral 50 level. Key support remains at $0.1120 and $0.1080, while the focus for resistance is placed on $0.1165 and $0.1240.
