Dogecoin is currently trading at $0.15 after a slight recovery from the low $0.14 range. Since October 2023, the price of Dogecoin has been on an uptrend channel with the current intersection of the 61.8% Fibonacci retracement level at $0.13. It constructs an essential support zone that indicates where the price of a stock can consolidate in the short term.
Dogecoin technical indicators point to a crucial inflection zone
Technical indicators confirm Dogecoin has exceeded the long-term ascending pattern and displays downward pressure throughout higher time periods. The price area of $0.13 serves as a crucial point because it matches the 61.8% Fibonacci retracement.
Crypto analyst Ali Martinez noted that Dogecoin has respected this trendline for months, and losing this level could signal further downside. Indicators remain mixed; MACD has shown a sell signal on the daily chart, reflecting bearish momentum.
However, for the Williams Percent Range, it has fallen to oversold level and may be a good time to take a long position if support levels still hold. RSI also depicts an inverted condition, which signals that the stocks are possible to make an upturn in short-term trends.
Market sentiment and on-chain data reveal uncertainty
Dogecoin is still under broad market pressure after last week’s crypto-wide sell-off. Liquidations reached multi-month highs, and open interest has dropped over 75% since January, according to Coinglass.
Even though the long/short ratio has dropped, it is still above 1, which means most traders continue to hold long positions and it is consistent with the view supported by popular crypto analysts such as BitGuru and Kevin Capital that bullish divergence and reversal has emerged at levels. Therefore, BitGuru set the Bounce at $0.16, $0.18, and $0.205 if the momentum rises.
However, any break below $0.13 – $0.14 support could define more bearish impulse and take Dogecoin lower toward earlier structure lows near $0.10.Currently, $0.13 is the level to watch. Sustained trading over the said level may lead to fresh long positions being bought.
