Usman Salis
Dogecoin posted a 0.3% gain but faces key support levels that could trigger a drop to $0.20-$0.21.
Most top 10 cryptocurrencies are back in the green according to CoinMarketCap, but DOGE isn't safe yet despite its 0.3% daily bounce.
DOGE is sitting right at critical support of $0.2174 on the hourly chart. If this breaks, expect a drop to around $0.21 by tomorrow. The current trading price is $0.2170.
Dogecoin (DOGE) Price Faces Daily Chart Breakdown
The daily timeframe looks even worse. Dogecoin is returning to a level where it had a false breakout before - classic bearish signal.
If DOGE closes below $0.2161 on the daily, we'll likely see a test of the $0.20-$0.21 zone soon. The momentum is clearly shifting toward the bears here.
Weekly Outlook Shows More DOGE Downside
From the weekly perspective, traders should watch the $0.22 level closely. If the weekly candle closes below this mark, there's a high chance DOGE drops to the $0.20 psychological support.
The technical setup suggests bears are in control. DOGE needs to hold these support levels or things could get ugly fast.
Usman Salis
