Dogecoin corrected gains from the $0.2880 zone. DOGE price is now consolidating above the $0.1880 support and faces an uphill task.
Dogecoin Price Holds Key Support
In the last few days, Dogecoin price saw a decent upward move above the $0.2120 zone. DOGE followed Bitcoin and climbed above the $0.2320 resistance zone. The price even climbed above $0.250 before the bears emerged.
A high was formed at $0.2873 and the price started a downside correction. There was a move below the $0.250 and $0.2320 levels. The bears pushed the price below the 50% Fib retracement level of the upward move from the $0.1431 swing low to the $0.2873 high.
Dogecoin is now holding the $0.1880 support and the 50-day simple moving average. There is also a connecting bullish trend line formed with support at $0.1950 on the daily chart.
If the trend line support holds, the price might attempt to recover. Immediate resistance on the upside sits near the $0.2150 level. The first major resistance is near the $0.2320 level. A close above the $0.2320 and $0.2350 resistance levels could set the pace for a larger increase.
In the stated case, the price could rise and drift toward the $0.2880 level. The next key resistance sits near the $0.30 level. Any more gains might send DOGE price toward the $0.320 level in the coming days.
Downside Break In DOGE?
Conversely, Dogecoin might struggle to surpass the $0.2150 resistance or $0.2320. In the stated case, the price could start a fresh decline. Immediate support on the downside is near the $0.1980 level and the 50-day simple moving average or the trend line.
A close below the trend line support might increase selling pressure. The next major support sits at the $0.1780 level. It is close to the 76.4% Fib retracement level of the upward move from the $0.1431 swing low to the $0.2873 high.
If there is a close below the $0.1780 support, the price might accelerate lower and drop toward the $0.1550 support in the medium term. The main support could be $0.1440. A downside break and close below the $0.1440 support might spark heavy bearish moves and might call for a test of the $0.120 level.
Overall, DOGE is consolidating above the key support at $0.1880 and the 50-day simple moving average. To start a fresh increase, the price must surpass the $0.2150 and $0.2320 resistance levels. If not, it could continue lower toward $0.1780.
