DOGEUSD Dogecoin

The recent attempt of Dogecoin to recover lost ground has faced a significant hurdle as the price struggles to break above the crucial 4-hour Simple Moving Average (SMA). This resistance level has proven a formidable barrier, with bearish pressure consistently preventing any meaningful breakout.  Despite initial signs of a potential rebound, DOGE’s inability to surpass this key threshold suggests that bullish momentum remains fragile, leaving the meme coin in a precarious position. The rejection at the 4-hour SMA highlights the growing dominance of sellers in the market, casting doubt on whether buyers can regain control to push the price higher.  A decisive move above the 4-hour SMA could signal a resurgence of positive sentiment, possibly paving the way for DOGE to target higher resistance levels. On the other hand, a continued failure to overcome this obstacle might lead to increased selling pressure, pushing the price toward lower support zones. Analyzing DOGE’s Recent Price Movement Analyzing Dogecoin’s recent price movement reveals a significant challenge for the bulls. Despite an initial rebound, DOGE has struggled to break through the resistance at the 4-hour SMA, which has become a critical barrier. Related Reading: Dogecoin (DOGE) Dips: A Warning Sign or A Hidden Opportunity? This indicates that upward momentum has faltered, and the market sentiment may be shifting. The failure to surpass this key level could suggest that further gains are unlikely without a consolidation phase or additional bullish catalysts. Also, the Relative Strength Index (RSI) indicator provides additional confirmation of the current bearish trend as the RSI line continues to stay below the 50% threshold. The RSI is widely used to assess the market’s strength, and when it remains below 50%, it often signals that selling pressure is prevailing over buying activity. This aligns with the recent price action of DOGE as the asset struggles to break through the key resistance level at the 4-hour SMA. DOGE’s RSI’s failure to rise above the 50% mark implies that bearish forces persist, limiting the meme coin’s chances of sustaining a rally. As long as the RSI remains below 50%, downward pressure may continue, making it hard for Dogecoin to break resistance and potentially push the price toward lower support levels.  A bullish reversal would require the RSI to climb above 50%, signaling a shift in market sentiment. For now, the bearish tone indicated by the RSI highlights the challenges DOGE faces in maintaining an upward trajectory. Critical Support And Resistance Levels To Watch For DOGE, key support and resistance levels offer vital insights into its future price movements. Dogecon’s price is currently testing the $0.3066 support level, which could act as a foundation if the bearish momentum persists. If DOGE falls below this support, it may head toward $0.2677, reflecting more downside risks. Related Reading: Dogecoin Price Confirms Breakout: Analyst Sets New Price Targets On the upside, should Dogecoin make a positive turn and break above the 4-hour SMA, the immediate resistance to watch is $0.3563. Furthermore, a successful breach of this level might pave the way for further upward movement, with the next target being the $0.4 resistance zone. Featured image from Unsplash, chart from Tradingview.com