Dogecoin has started to recover, moving above the $0.1040 mark against the US Dollar. However, it’s now facing resistance around $0.1075 and may struggle to keep climbing. The recovery began at $0.1020 and pushed past $0.1040. Currently, DOGE is trading below $0.1075 and the 100-hourly simple moving average. On the hourly chart of the DOGE/USD pair (data from Kraken), a bearish trend line with resistance at $0.1040 was broken. If the price stays above $0.1020, it could continue to rise.
Dogecoin Price Hits Resistance
Dogecoin’s recovery started from the $0.1020 zone, similar to Bitcoin and Ethereum. It moved above the $0.1035 and $0.1040 resistance levels. This upward move also surpassed the 23.6% Fibonacci retracement level of the drop from the $0.1127 high to the $0.1021 low. Additionally, the bearish trend line at $0.1040 on the hourly chart was broken. Now, DOGE is trading below $0.1075 and the 100-hourly moving average. If another recovery happens, the immediate resistance is around $0.1062. The first major resistance for buyers could be near $0.1075, which is also the 50% Fibonacci retracement level of the decline from $0.1127 to $0.1021. The next key resistance is at $0.1088. Breaking above that might push the price toward $0.1120. Further gains could target $0.1150, with the next major stop at $0.1165.
Another Decline In DOGE?
If DOGE can’t break above $0.1075, it might drop again. The first support is near $0.1040, followed by $0.1020. The main support is at $0.10. If the price falls below $0.10, it could decline further, possibly sliding toward $0.09650 or even $0.0950 in the near term.
Technical Indicators
Hourly MACD – The MACD for DOGE/USD is gaining bullish momentum.
Hourly RSI – The RSI is now above 50.
Major Support Levels – $0.1040 and $0.1020.
Major Resistance Levels – $0.1075 and $0.1120.
Frequently Asked Questions
Here is a list of FAQs regarding Dogecoin facing new downside risk and aggressive sellers
BeginnerLevel Questions
1 What does downside risk mean for Dogecoin
It means the price is more likely to drop than to go up in the near future
2 Why are sellers being aggressive right now
Aggressive sellers are people who are selling their Dogecoin quickly often at lower prices because they want to get out of their position before the price falls further
3 Is Dogecoin going to zero
Probably not immediately but the current trend is bearish It means the price could fall to lower support levels Its unlikely to go to zero but it could lose significant value
4 Should I buy Dogecoin while its low
Thats a personal risk Buying the dip is risky when sellers are aggressive because the price might keep falling Its smart to wait for a sign that the selling has stopped
5 What is causing this new risk for Dogecoin
It could be several things a broader crypto market crash negative news about Dogecoin a lack of major upgrades or simply large holders selling off their coins
Intermediate Advanced Questions
6 What does sellside pressure mean in this context
It means there are more people wanting to sell Dogecoin than there are people wanting to buy it This imbalance forces the price down as sellers compete to find buyers
7 How can I tell if the selling is truly aggressive vs just a normal correction
Look for high trading volume combined with a sharp price drop If the price is falling on significantly higherthanaverage volume thats aggressive selling A normal correction usually happens on lower volume
8 What are the key price levels to watch for a breakdown
Traders often watch the previous support level If Dogecoin breaks below its recent low it signals that the aggressive sellers have won and the next downside target could be much lower
9 Can whales cause this downside risk
Yes If a few large wallets start moving their coins to exchanges to sell it creates massive sell pressure This