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Dogecoin price analysis: What is the condition for the resumption of the upward trend?

Dogecoin has experienced a significant drop from the $0.16 level in the past few days. If the key support at $0.09 continues to remain intact, this memecoin will have a chance to start a new uptrend.

To Report BTC News, Dogecoin experienced a record high jump a few days ago by crossing the $0.07 resistance. This upward movement was followed by the breaking of the psychological resistance of $0.1 and the price performance of Dogecoin surpassing that of Bitcoin and Ethereum.

After breaking through the $0.12 and $0.15 resistances, the uptrend finally ended with the price reaching the $0.1609 peak and the price correction started, which was initially broken by the $0.142 and $0.135 supports. was with us.

The next key support that was lost during the fall was the uptrend line support on the chart at $0.1180, after which the 50% Fibonacci retracement level was also broken. In this analysis, the Fibonacci levels are set based on the upward movement of Dogecoin from $0.0551 to the peak of $0.1609.

Dogecoin price analysis: What is the condition for the resumption of the upward trend?
One-day chart of Dogecoin price (click on the image to view the original size).

The price is currently testing a support area near $0.0955 and the 61.8% Fibonacci retracement level, and if this support is lost further, the correction of the last few days will deepen. The next price supports have been formed at $0.0900 and $0.0895, and if buyers fail to hold these two levels, the way for the price of Dogecoin to fall to $0.0550 will be opened.

On the other hand, if the price continues to maintain its position above $0.0955, the chances of Dogecoin to start a new uptrend will increase. In this case, the closest resistance facing buyers is the $0.1150 level.

The first key resistance in front of Dogecoin will be $0.1200, and crossing it can open the way for the continuation of the upward movement of this meme coin to $0.135.

In the 4-hour view of the DogeCoin market, the MACD is accelerating in the bearish range and the Relative Strength Index (RSI) is about to enter the oversold zone.

Dogecoin price analysis: What is the condition for the resumption of the upward trend?
Macdi and RSI indicators in the 4-hour view of the Dogecoin market.

As mentioned, $0.0955 and $0.0900 are key supports for Dogecoin, and $0.11550 and $0.1200 are acting as resistances.

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