Dogecoin price analysis: DOGE swiftly retests upside at $0.07, further drop incoming?

Dogecoin price analysis is bearish today as we have seen a strong retest of upside end at the $0.07 mark. Since then reaction lower has been made, indicating that DOGE/USD will look to push towards further downside over the weekend.

Dogecoin price analysis: DOGE swiftly retests upside at $0.07, further drop incoming? 1
Cryptocurrency heat map. Source: Coin360

The market has traded in the green over the last 24 hours. The leader, Bitcoin, gained 1.24 percent, while Ethereum gained over 4 percent. The rest of the market has traded in the green as the overall market sentiment was bullish.

Dogecoin price movement in the last 24 hours: Dogecoin spikes above the local resistance

DOGE/USD traded in a range of $0.06612 to $0.07012, indicating substantial volatility over the last 24 hours. Trading volume has increased by 27.77 percent, totaling $331.12 million, while the total market cap trades around $9.1 billion, ranking the coin in 11th place overall.

 

DOGE/USD 4-hour chart: DOGE ready for another drop?

On the 4-hour chart, we can see reaction lower over the past hours, indicating that bearish momentum will continue over the rest of the weekend.

Dogecoin price analysis: DOGE swiftly retests upside at $0.07, further drop incoming?
DOGE/USD 4-hour chart. Source: TradingView

Dogecoin price action has traded with steady bearish momentum over the past week, leading to a new swing low set at $0.065. From there, DOGE/USD moved into consolidation as selling pressure became weak.

After several attempts to continue lower, DOGE failed to break even lower, resulting in a strong higher swing low set. Eventually, bulls took over and took the market back higher above the $0.069 resistance.

However, considering that further downside was not reached above $0.07, we expect another reversal to the downside to follow overnight. Likely Dogecoin price action will look to return to $0.65 support and break past it by the end of the weekend.

Dogecoin price analysis: Conclusion 

Dogecoin price analysis is bearish today as we have seen a quick retest of upside and reaction lower over the past hours. Therefore, we expect DOGE/USD to continue lower over the weekend and look to break below the $0.065 support.

While waiting for Dogecoin to move further, see our articles on how to buy Litecoin, Filecoin, and Polkadot.

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