Dogecoin, the popular cryptocurrency known for its Shiba Inu logo, is showing strong support and could be primed for a major move higher. Currently trading above the $0.160 resistance zone against the US Dollar, DOGE is holding onto its gains and might aim for a move above $0.1650. The price is also trading above the $0.160 level and the 100-hourly simple moving average, indicating a positive momentum.
A key bullish trend line is forming with support near $0.160 on the hourly chart of the DOGE/USD pair. For DOGE to gain bullish momentum, it needs to settle above $0.1650 and continue moving higher.
In recent sessions, Dogecoin has seen a steady increase above the $0.1500 zone, following the footsteps of Bitcoin and Ethereum. The recent swing high was formed at $0.1646 before a slight downside correction. However, the price remains above key support levels and the trend line.
On the upside, resistance levels to watch out for include $0.1640 and $0.1650. If these levels are breached, the price could potentially surge toward the $0.1720 resistance, with further gains possibly leading to $0.1750 and even $0.1800.
However, should DOGE fail to gain momentum above $0.1650, it could trigger another decline. Initial support lies near the $0.160 level and the trend line, followed by the 50% Fib retracement level at $0.1580. A break below $0.1580 could open the door for further downside movement, potentially towards the $0.1520 level.
In terms of technical indicators, the hourly MACD (Moving Average Convergence Divergence) is showing a loss of momentum in the bullish zone, while the RSI (Relative Strength Index) is above the 50 level, indicating positive sentiment.
Overall, Dogecoin appears to be holding strong support and could be gearing up for a significant upward move. Traders and investors should keep an eye on key resistance and support levels to assess the potential direction of DOGE in the coming days.