Key Takeaways:
- Dogecoin price is holding the key $0.0720 support zone.
- DOGE is trading inside a contracting triangle with resistance near $0.085 on the daily chart.
- There could be a strong rally if there is a clear move above $0.085 and then $0.090.
New Delhi(Coinchapter): DOGE price is recovering higher from the $0.072 support. Dogecoin remains supported and might gain pace if it settles above $0.090.
Dogecoin Price Eyes Fresh Surge
In the past few days, DOGE saw a major decline from well above the $0.15 level against the US Dollar. The price gained pace after it broke the key $0.1000 support zone.
The bears even pushed the price below the $0.0850 support level and the 100-day simple moving average (blue). However, the bulls took a stand near the $0.0720 support zone. They protected the $0.0720 support two times, resulting in an upside reaction similar to bitcoin and ethereum.
Dogecoin price daily chart | Source: DOGEUSD on TradingView.com
The bulls were able to pump the price above the $0.080 resistance. It is now trading near the $0.082 level and the 100-day simple moving average (blue).
An immediate resistance is near the $0.0850 level. There is also a key contracting triangle forming with resistance near $0.085 on the daily chart. The first major resistance is near the $0.090 zone. It coincides with the 23.6% Fib retracement level of the main decline from the $0.1589 high to $0.0705 low.
A clear move above the $0.090 resistance might open the doors for more gains. The next major resistance could be near the $0.100. Any more gains might send the price towards the $0.115 resistance. It is near the 50% Fib retracement level of the main decline from the $0.1589 high to $0.0705 low.
Fresh Drop?
Conversely, dogecoin price might fail to clear the $0.085 and $0.090 resistance levels. An immediate support on the downside is near the $0.0750 level. The next major support is near $0.072.
The main support is now forming near the $0.0705 level. If there is a downside break below the $0.0705 support, the price might gain bearish momentum towards $0.060. Any more losses could open the doors for a move towards the $0.055 support zone.
Overall, DOGE is holding the key $0.0720 and $0.0705 support levels. If dogecoin price clears the $0.090 resistance zone, it could start a fresh rally. In the stated case, the bulls might aim a move towards $0.115. Conversely, the current recovery might fade and the price might revisit the $0.0705 support.
