Dogecoin (CRYPTO: DOGE) is trading higher Tuesday as the crypto market sees a strong upward day. DOGE is up slightly as it attempts to recover a support level it once was able to hold. The downward trend remains intact, and the crypto will need to see a few strong bullish days to break it.
Dogecoin was up 2.90% in a 24-hour period at $0.1327 at time of publication.
See Also: Why Dogecoin Is Shooting Higher Today
Dogecoin Daily Chart Analysis
- Dogecoin cracked below the $0.15 support line and has remained just below the level, but is seeing some bullish momentum the past couple of days and may go on to test the level again soon. If broken, the next strong area of resistance shown on the chart is near the $0.35 level.
- The crypto trades below both the 50-day moving average (green) and the 200-day moving average (blue), indicating the DOGE is seeing recent bearish sentiment. Each of these moving averages may hold as an area of resistance in the future.
- The Relative Strength Index (RSI) has been pushing lower over the past few weeks, but in the past couple of days has made a move back higher and sits at 45. This shows there are slightly more sellers in the market, but with the upward moving RSI more buyers have been entering the market the past couple of days.
What’s Next For Dogecoin?
Dogecoin is nearing a critical moment when it will attempt to cross back above the support level once again. If this level holds as resistance, the crypto could see a strong move back lower once again.
Bullish traders are looking to see higher lows form and for the price to cross back above the $0.15 level and be able to hold it. This would show strength and the crypto could start pushing back higher in the channel once again.
Bearish traders want to see the level hold as an area of resistance and see a strong bearish push follow a failure to cross above the level.
