Summary:
Dogecoin is facing a significant drop below the $0.1220 support level.
DOGE is currently trading below a crucial bearish trend line with resistance at $0.1420 on the daily chart.
There is a possibility of a sharp decline towards $0.1070 or even $0.0865 in the upcoming days.
Dogecoin (DOGE) has dipped below the important support level at $0.1220, indicating potential further downward movement towards $0.1070.
Earlier, Dogecoin tried to break above the $0.1620 resistance area but faced resistance from bears, leading to a downward trend below the $0.150 support level. Bears managed to push the price below the 76.4% Fib retracement level and the 50-day simple moving average of $0.140.
The current scenario on the daily chart shows a bearish trend with attempts to break below the $0.120 support level, along with a key bearish trend line resistance at $0.1420.
The daily candle is showing strong bearish pressure below $0.1250, impacting other meme coins like PEPE and SHIB. If the price closes below $0.120, further downside is expected with the first support at $0.1072.
Failure to defend the $0.1072 support could result in significant losses, potentially pushing the price towards the $0.0865 support area.
On the upside, DOGE might see a recovery wave with immediate resistance at $0.1328 and major resistance at $0.140. The key resistance levels are at the trend line and $0.1420, with the main resistance near the 50-day simple moving average at $0.150.
A daily close above the trend line and $0.150 could pave the way for a bullish rally towards the $0.1740 resistance level.
Overall, Dogecoin is indicating a bearish breakdown below the $0.120 support level, suggesting a possible move towards $0.1072 or even $0.0865 in the short term.
