Dogecoin is showing positive signs above the $0.170 support zone. DOGE price could soon start a fresh surge if it clears the $0.20 resistance.
Dogecoin Price Regains Bullish Momentum
In the last technical analysis, we discussed how Dogecoin price started a decent increase from the $0.1300 support zone. A base was formed and the price was able to surpass the $0.1450 and $0.1650 resistance levels, like Bitcoin and Ethereum. The bulls even cleared the $0.1700 resistance level.
There was a move toward the 23.6% Fib retracement level of the downward wave from the $0.4336 swing high to the $0.1297 low. More importantly, the price settled above the $0.180 resistance and the 50-day simple moving average.
Dogecoin is now consolidating above the $0.180 level and the 50-day simple moving average. The current price and the recent bullish moves in Bitcoin suggest that DOGE could soon start another increase.
Immediate resistance on the upside sits near the $0.20 level. The first major resistance is near the $0.220 level. A close above the $0.20 and $0.220 resistance levels could set the pace for a larger increase.
In the stated case, the price could surge and drift toward the $0.250 level. The next key resistance sits near the $0.2820 level and the 50% Fib retracement level of the downward wave from the $0.4336 swing high to the $0.1297 low. Any more gains might send DOGE price toward the $0.3175 level in the coming days.
Another Drop In DOGE?
Conversely, Dogecoin might struggle to surpass the $0.20 resistance or $0.220. In the stated case, the price could start another decline. Immediate support on the downside is near the $0.180 level.
There is also a key rising channel forming with support near $0.1780 on the daily chart. It coincides with the 50-day simple moving average. A downside break and close below the $0.1780 support might spark heavy bearish moves.
The next major support sits at the $0.1550 level. If there is a close below the $0.1550 support, the price might drop toward $0.1320 or even $0.120 in the medium term.
Overall, DOGE is consolidating above $0.180 and $0.1780. To start a decent increase, DOGE must surpass the $0.20 and $0.220 resistance levels in the near term. If not, it could revisit the $0.1550 support.