The slump saw the canine-themed cryptocurrency touching its 2022 lows during June sessions. Meanwhile, purchasers have struggled to recapture important support zones.
The previous bullish run saw Dogecoin’s breakout fixing a location outside 10-month trend-line support. The recent bearish drag from the POC (Point of Control) had the meme token retesting its trend-line foothold.
Rebounding tendencies might see DOGE completing a short-term rally before extending its negative trends. While publishing this blog, Dogecoin traded at $0.0618, down more than 3% within the past 24 hours.
Dogecoin Daily Timeframe
As the bearish strength appeared to replenish around the $0.08 mark, the resulting reversal dragged Dogecoin beneath its 20 Exponential Moving Average and the 50EMA. The Point of Control region saw a tussle between sellers and buyers, while the bearish engulfing candle made apparent bearish intents.
Considering the empirical reversal inclination from DOGE’s long-term trend-line foothold, buyers would plan to halt the present bleeding. A possible bounce back from the level might bolster bulls to test $0.068 before potential reversals.
Nevertheless, the door would be left open for further declines in the DOGE price if the price continued to fall below $0.061. Before a period of sluggishness sets in, sellers can try to ensure that the price moves to $0.056.
The relative strength index (RSI) dropped below the support level of 43, which is indicative of a significant increase in bearish supremacy. Actions that continue to be taken below this level will help efforts to sell in the short term. In addition, the overall bearish posture was consistent with the movement of the Awesome Oscillator (AO) lower than the zero area.
Surprisingly, the Volume Oscillator (VO) continued its downward trend during the most recent drop. That verified a minor weak bearish movement. The ADX showed that the direction of DOGE was heading in a downward way.
A Closing Reflection
During the course of this publication, the value of dogecoin wavered at an important crossroads. If buyers maintain support at the 10-month trend line, the meme currency might see some short-term price appreciation.
However, a bearish cross on the 20-50 Exponential Moving Average confirmed the bearish vigor while maintaining the desire of sellers for medium- to long-term projects. The goals are outlined in the previous sentence. In conclusion, there is significant overlap between Bitcoin and the Dogecoin cryptocurrency. Fans of Dogecoin can therefore observe the action surrounding Bitcoin for potential money-making moves.