Dogecoin (DOGE) Falls Back Mildly — Support Just Below Could Trigger Fresh Upside
Dogecoin (DOGE) failed to maintain its rise above $0.1850 and entered a downside correction below $0.180 against the US Dollar. It is now consolidating and may find support near $0.1680. The price is trading below the $0.1780 level and the 100-hourly simple moving average after breaking a bullish trend line. Resistance levels are at $0.1760, $0.1800, and $0.1850, with a potential upward target of $0.1920-$0.20 if momentum continues. On the downside, support levels are at $0.1715, $0.1700, and $0.1680, with potential declines to $0.1565 or $0.1520. Technical indicators such as the hourly MACD indicate bearish momentum and the RSI is below 50.
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Dogecoin Consolidates After Failing to Rise Above $0.1850
Dogecoin struggled to rise above $0.1850 and started a correction against the US Dollar. Currently, DOGE is consolidating and might find bids near $0.1680. The price is trading below the $0.1780 level and the 100-hourly simple moving average. There was also a break below a key bullish trend line with support at $0.1750 on the hourly chart of the DOGE/USD pair (as per Kraken data). If the price remains stable above $0.1680, a fresh increase could be expected.
Fresh Bullish Attempt and Resistance Levels
Dogecoin price recently started a fresh increase after stabilizing above $0.1650, similar to Bitcoin and Ethereum. The price climbed above the $0.1750 resistance, entering a positive zone. The bulls managed to push the price above $0.1800, forming a high at $0.1859. However, the price is now correcting those gains and testing the 50% Fibonacci retracement level, taken from the $0.1568 swing low to the $0.1859 high.
Potential for Further Decline
However, if DOGE fails to climb above the $0.1800 level, it might continue its downward trajectory. Initial support is found near the $0.1715 level, with the next significant support near $0.1700. Strong support is located at $0.1680, which aligns with the 61.8% Fibonacci retracement level of the previous upward move from $0.1568 to $0.1859.
Downside Risks
If there is a break below the $0.1680 support level, Dogecoin’s price could decline further, potentially targeting the $0.1565 level or as low as $0.1520 in the near term. This bearish sentiment might dominate without strong buying support at key levels.
Key Technical Indicators
- Hourly MACD: Currently gaining momentum in the bearish zone.
- Hourly RSI: The RSI for DOGE/USD is now below the 50 level, signaling weaker bullish strength.
Major Support Levels: $0.1700 and $0.1680
Major Resistance Levels: $0.1800 and $0.1850