After the breakout beyond the local resistance trendline, Dogecoin (DOGE ($0.32)) has experienced a little volatility in the past few days.
However, DOGE price has struggled to break out above the $0.36 level. Its fluctuation has caused discussions in the market regarding the next possible trend.
The current resistance level is $0.34 while the $0.30 level is acting as a strong support.
Dogecoin Price Key Resistance at $0.33 Limits Further Gains
The price of Dogecoin surged significantly and faced a technical resistance around $0.34.
This has been a critical area probably where the price could not be stabilized and regain the bull movement.
As noted by crypto analyst, Ali Martinez, a failure to maintain momentum above this level has resulted in a slight pullback, causing the price to hover just below the $0.36 target.
Source: XThe $0.34 level is of particular importance since it is close to the 38.20% Fibonacci retracement level for the current market.
As the price of DOGE continues to trade at this resistance zone, many traders are monitoring the price action closely to assess whether a rebound or a further retreat is on the horizon.
Support at $0.30 Offers Stability Amid Market Volatility
While entering a consolidation phase, Dogecoin is facing resistance at $0.34 but has strong support at $0.30 holding firm against recent pullbacks.
The $0.30 level is significant since it can prevent deeper declines for DOGE.
This means that bulls can still take over the market and attempt to push the price towards the higher range.
A breakdown below the $0.30 level of support could mean further sliding and open up more volatile moves.
These levels are critical for traders since a breakdown below $0.30 threatens to push the price lower in the near term.
Meanwhile, a recent analysis of Dogecoin’s price action highlighted a bull-flag pattern near the current range lows around $0.28.
Despite bearish signals, the formation suggests a potential reversal if volume support materializes.
A breakout above the flag could target previous highs near $0.35. However, sustained buying momentum and increased volume are key for further gains.
Positive Funding Rate Suggests Bullish Sentiment
The funding rate for DOGE, however, remains positive at 0.0088% in the latest data, which means that the market sentiment remains highly bullish.
A positive funding rate means longs are willing to pay a premium to hold long positions, indicating that they anticipate an upward movement soon.
This sustained optimism in the market seems to be a significant factor because it would suggest that the bulls are likely to try and move the market up again soon, especially if $0.30 continues to hold.
Hence, if the bullish momentum persists, DOGE could be set to revisit the $0.36 value mark and potentially surge even higher to other resistance levels.
Dogecoin Price: Potential for a 25% Rally Towards $0.4157
If the Dogecoin price continues to rise, Dogecoin price must first surpass the current resistance level of $0.34.
According to the technical aspect, an appreciation should push the price to the $0.4157 level.
This represents a surge of more than 25% of the current prices. This would be a big swing in the sentiment for Dogecoin as it cements itself as a valuable asset for trading.
At press time, Dogecoin (DOGE) price is trading at $0.3356, showing a 1.06% increase in the last 24 hours.
The price has experienced a slight rally after testing the $0.3322 support. If the bullish momentum continues, DOGE could test the $0.34 resistance level.
The post Dogecoin Price Stalls Below $0.36, Can Bulls Regain Momentum? appeared first on The Coin Republic.
