DOGE Price Breakout Takes Retest, Will Dogecoin Bounce Back?

With the bearish reversal testing the 100-day MA, the DOGE price trend highlights a critical juncture for the meme coin. Further, with the double bottom reversal in the daily chart, the buyers are hopeful for a bull run. 

However, with the intent to undermine the breakout, the recent drop warns of a correction under market-wide correction threat. 

Read our DOGE price prediction NOW to find out if Dogecoin will cross the $0.10 mark in 2024. 

DOGE Price Backed At $0.082, Will Buyers Make A Comeback?

Source: Tradingview

With the bullish breakout of the short-term resistance trendline, the DOGE price teases a bullish reversal. Moreover, the breakout event justifies the recent drop of 8% in two days, leading to two bearish candles. 

Currently, the Dogecoin shows lower price rejection in the bearish candles and projects a likelihood of a post-retest reversal. Further, the DOGE price trades at $0.08347, with an intraday fall of 2.30%. 

Despite the decline, the price remains above the $0.082 level and forms a long tail, indicating a bullish attempt to sustain the rally.

Technical indicators:

MACD Indicator: A bullish crossover state between the MACD(blue) and signal(orange) reflects this recovery trend is returning to this asset. If the indicator slopes manage to surpass the midline, the buyers would gain additional momentum to prolong the bull run.

Moving Average Lines: The Dogecoin price resonating between a flatish 50- and 200-day MA slope indicates the mid-term trend is currently sideways. With the anticipated upswing, the buyers will break above the 50-day MA slope, offering an additional foothold for buyers to carry sustainable growth.

Will Dogecoin Survive This Fall?

Following a bullish reversal from the 61.8% Fibonacci retracement level around $0.0748, the Dogecoin gave a bullish breakout from the immediate resistance of the downsloping trendline. This breakout above a resistance, which carried the last 6-week downfall, projects a potential end of the correction trend.

Should the DOGE price sustain above the $0.082 mark, the buyers may drive a 28% rally to rechallenge the last swing high of $0.106,

On a contrary note, if the retest phase plunges below the downsloping trendline, the fake scenario will intensify the supply pressure among traders.