Trapped in a long-term downtrend, the DOGE price is down by almost 60% since November 2022. With the crucial EMAs maintaining a downtrend, the future seems bleak for the dog-themed memecoin.
In the daily chart, the DOGE price action displays a falling wedge pattern with an ongoing correction phase. Moreover, the DOGE price action mimics a head and shoulder pattern with the fakeout of $0.64 during the consolidation phase.
In hindsight, the drastic 4.20% fall on the 10th and 11th of September led to the head and shoulder breakdown.
Currently, the DOGE price trades at $0.610 with a higher price rejection in the intraday candle that displays a retest of the bearish breakdown. Moreover, it promotes the possibility of a downtrend continuation.
Coming to the technical indicators, the MACD indicator displays a bearish crossover. Meanwhile, the RSI indicator approaches the oversold boundary.
In the 4-H chart, the DOGE price action displays a quick reversal to retest the broken range at $0.61. If the bearish supply increases at the $0.61 resistance zone, the downtrend continuation can break under the $0.59 mark. This increases the possibility of a downfall with a post-retest reversal.
The DOGE price action can challenge the support trendline of the falling wedge pattern and reach the $0.053 mark before taking a bullish reversal. This will lead to extreme pressure on upcoming support levels and challenge the bullish dominance.
Sohrab is a passionate cryptocurrency news writer with over five years of experience covering the industry. He keeps a keen interest in blockchain technology and its potential to revolutionize finance. Whether he’s trading or writing, Sohrab always keeps his finger on the pulse of the crypto world, using his expertise to deliver informative and engaging articles that educate and inspire. When he’s not analyzing the markets, Sohrab indulges in his hobbies of graphic design, minimal design or listening to his favorite hip-hop tunes.