After reaching a peak at $0.2285, Dogecoin experienced a corrective dip below key support levels of $0.20 and $0.180. However, support at $0.1650 and the 50-day simple moving average prompted a resurgence.
Recent Developments Impacting DOGE
Following the release of the US CPI report, which revealed a 3.5% increase in March 2024 compared to the previous year, market expectations for a June 2024 Fed rate cut diminished.
Initially, Bitcoin, Ethereum, and Dogecoin responded with downward movement, but a recovery is now underway.
Dogecoin price daily chart | Source: DOGE/USD on TradingView.com
Dogecoin faces resistance near the $0.20 mark, with a significant hurdle being the bearish trend line on the daily chart. However, a break above this level could propel DOGE towards $0.2280 and potentially to $0.250.
Related article: Unveiling Dogecoin’s Path to $1: Insights from Whale Transactions
Potential Downside Correction
In the event of a downward correction, immediate support lies around $0.1850, followed by a more substantial support level at $0.180. Additionally, a bullish trend line at $0.1785 indicates further support.
Related article: Dogecoin Price Surges 9% in 24 Hours: Analysis and Predictions
The main support level stands at $0.160, corresponding to the 50-day simple moving average. Should this level fail to hold, a deeper decline towards the $0.1240 support zone could be on the horizon.
DOGE appears to be gathering bullish momentum, particularly above the $0.1850 level. This suggests a possible advance towards $0.2280 and eventually $0.250 in the near future. However, caution is advised as a failure to maintain key support levels could lead to significant losses.
