Dogecoin avoided a bearish break and recovered above $0.2350. DOGE price is now showing positive signs but faces hurdles near $0.250.
In the last technical analysis, we discussed the chances of more losses in Dogecoin price if it dips below the $0.20 pivot level. However, the bulls protected a bearish break and the price recovered losses. There was a recovery wave above $0.2250 and $0.2320, beating Bitcoin.
More importantly, there was a break above a key bearish trend line with resistance at $0.2260 on the daily chart. The price surged above the 61.8% Fib retracement level of the downward move from the $0.2450 swing high to the $0.2062 low.
Dogecoin is now trading above $0.230 and the 50-day simple moving average. The bears are now active near the $0.250 zone. The price is now trimming some gains and slowly moving lower below $0.2420.
Immediate support on the downside is near $0.2320. The next major support sits near the $0.2250 region and the 50-day simple moving average. If the bulls fail to defend $0.2250, the price might accelerate lower and drop toward $0.2120.
The main support could be $0.2060. A downside break and close below $0.2060 might spark heavy bearish moves and might call for a test of the $0.1880 region.
Conversely, Dogecoin could remain above $0.2250 and start a fresh increase. Immediate resistance on the upside is near $0.2450. The first major hurdle sits at $0.2500 and $0.2520.
A close above $0.2520 could accelerate gains and the price could drift toward $0.2700 since it is close to the 1.618 Fib extension level of the downward move from the $0.2450 swing high to the $0.2062 low. If the bulls surpass $0.270, DOGE could set the pace for a larger increase.
In the stated case, the price could rally and test $0.30. The next key target might be $0.320. Any more gains might send the price toward the $0.350 barrier in the coming days.
Overall, DOGE is consolidating gains below $0.2450 and $0.250. To start a fresh increase, the price must settle above $0.250. If not, it could revisit the $0.2250 support and the 50-day simple moving average.
