Dogecoin Price Analysis: DOGE reached $16.5, pauses before breakout?

  • DOGE continued to move lower overnight.
  • Support around $16.5 almost reached.
  • DOGE/USD likely to target $0.0875 next.

Dogecoin price analysis predicts further downside over the next 24 hours as bears pushed the market towards $0.165 support. Therefore, we expect DOGE/USD to break lower and start heading towards the next major support around $0.0875.

Dogecoin Price Analysis: DOGE reached $16.5, pauses before breakout? 1
Cryptocurrency heat map. Source: Coin360

The crypto market trades in the red over the last 24 hours, with Bitcoin down by almost a percent and Ethereum 1.5 percent. The rest of the top altcoins follow with a loss of around 2-3 percent.

Dogecoin price movement in the last 24 hours: Dogecoin almost reached $0.165

DOGE/USD traded in a range of $0.1692 – $0.181, indicating mild volatility. Trading volume has decreased by 7.37 percent and totals $1.11 billion. The total market capitalization trades around $23 billion, ranking the cryptocurrency in 8th place overall.

DOGE/USD 4-hour chart: DOGE prepares to break $0.165

On the 4-hour chart, we can see the Dogecoin price slightly rallying over the past hours before another attempt to break $0.165 is made.

Dogecoin Price Analysis: DOGE reached $16.5, pauses before breakout?
DOGE/USD 4-hour chart. Source: TradingView

Dogecoin price action has traded in a strong bearish momentum over the past weeks after a strong spike to the $0.29 mark was seen on the 25th of June. This price action development resulted from a more than 65 percent drop in June as a continuation of the several-month decline.

After Doge reached $0.29, the following retracement established support around $0.23. Above the support, DOGE/USD trades in an increasingly tighter range along a several-week descending trendline. Break lower was seen on the 7th of July, with the support retested as a resistance on the 9th of July.

This trendline continued to hold DOGE/USD from further upside over the past week and led the market towards the next significant support of around $0.165, which is yet to be broken. Currently, we can see the Dogecoin price approaching the support, with some rejection over the past hours.

This will likely lead to a slight rally later today and another strong push lower tomorrow. Once bears take over control again, we expect the $0.165 to be broken, and DOGE/USD starts its way towards the next major support of around $0.0875.

Dogecoin Price Analysis: Conclusion 

Dogecoin price analysis is bearish for the weekend as bears reached the previous major swing low of $0.165 overnight, and a slight rally is seen as of now. Therefore, DOGE/USD will likely break the $0.165 overnight and move towards the next major support around 0.0875 latest his month.

While waiting for Dogecoin to break lower, read our guides on Bitcoin fees, what is DeFi, as well as what can you buy with Bitcoin.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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