Dogecoin Price Analysis Today: Is DOGE Price Headed Back To $0.06?

On May 8th, the Dogecoin price witnessed a significant sell-off and printed a long red candle in the daily chart. After this bear attack, the price trend turned sideways and remained within the range of the aforementioned daily candle. With the increasing uncertainty in the crypto market, the consolidation phase was prolonged for quite a few days, but the credibility of this range remains intact and could significantly impact the near future price of DOGE.

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Dogecoin Price Daily Chart

• The narrow price range available between $0.0771 and $0.0698 can be marked as no trading zone.
• A breakout from the aforementioned range is needed to kickstart a sustained rally
• The 24-hour trading volume in the Dogecoin coin is $213.5 Million, indicating a 54% gain.

Source-Tradingview 

By the press time, Dogecoin price traded at $0.0729, with an intraday gain of 1.08%. The daily chart continues to show several short-body candles which indicate there’s no clear dominant force in the market.

If the crypto market continues to face indecisiveness among market participants, this memecoin will extend the sideways trend for a few more trading days. 

Anyhow, the high($0.0771) and low($0.0698) of the May 8th daily candle acts as crucial resistance and support respectively, creating a narrow range in the daily chart. Interested traders must wait for a clear breakout from either of the aforementioned levels to determine the potential trend in the Dogecoin price. 

A bullish breakout above the $0.077 resistance will increase the buying pressure and drive the DOGE price 5% higher to hit $0.0815, followed by $0.09.

Conversely, a breakdown below $0.0698 support will prolong the prevailing downfall to the $0.06 mark.

Dogecoin Technical Analysis

• Super Trend: The red area projection in this indicator reflects the market trend remains bearish, suggesting a higher possibility of a downside breakdown.
• Vortex Indicator: the VI-(red) and VI+(blue) slope narrowing close after a bearish crossover indicates the selling momentum is weakening.

Will DOGE Price Plummet to $0.06?

The Dogecoin price will continue its lateral walk until the range between $0.0771 and $0.0698 is intact. For a potential downfall to $0.06, the coin price needs a breakdown below $0.0698 with a daily candle closing which will offer sellers additional resistance to pressurize buyers.