Dogecoin (DOGE) is currently trading at $0.099, staging a recovery attempt after successfully defending a critical support zone. The market sentiment has shifted slightly from capitulation to cautious consolidation as buyers step in to defend the yearly lows.
In our previous analysis, we warned that “the recent lows around the $0.080 – $0.085 mark are crucial” and that losing them would trigger deeper downside. Since then, the price behaved exactly as outlined: it tested the $0.0855 level (indicated by the green support line), found strong buying interest, and has since bounced approximately 15% to challenge overhead resistance.
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Technical Breakdown
Despite the recent bounce, the daily chart confirms that Dogecoin remains in a structural downtrend. The price action is currently squeezed between the major support floor and the descending moving averages, indicating a decision point is imminent.
- EMA 20 (Red): Currently sitting at $0.1038, this is the immediate hurdle. The price is currently wicking into this level, and a daily close above it is required to signal a shift in short-term momentum.
- EMA 50 & 100 (Yellow/Black): These lines are positioned at $0.116 and $0.134 respectively. They continue to slope downward aggressively, acting as a thick layer of resistance that will likely suppress any rapid rallies.
- EMA 200 (Blue): Located at $0.159, this line coincides with a major horizontal resistance level. It remains the ultimate “line in the sand” for a long-term trend reversal.
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The Bullish Path
For the bulls to regain control, the first step is a decisive daily close above the EMA 20 at roughly $0.104. If this dynamic resistance is flipped into support, the path opens toward the first major red resistance line at $0.1237. Reclaiming that level would be a significant structural break, potentially ending the multi-month correction.
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The Bearish Path
The primary risk lies in a rejection at the current EMA 20 test. If sellers step in here and prevent a breakout above $0.104, the price will likely rotate back down to test the $0.0855 green support line again. A failure to hold this support on a second test would be bearish, exposing the chart to lower lows below $0.080.
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Weekly Verdict
Dogecoin has successfully defended its macro support, but the recovery is fragile; the bulls must breach the $0.104 level this week to confirm a reversal, otherwise, the trend remains bearish.
