Dogecoin breaks below the $0.16 mark and is currently trading at $0.1582. This marks a bullish failure with an intraday pullback of -0.16% after a 24-hour high of $0.16119.
Currently, the Dogecoin price analysis warns of an intense pullback due to a pattern breakdown in the 4-hour chart. Will this drop Dogecoin prices under $0.15? Let’s find out.
Dogecoin (DOGE) Price Analysis
In the 4-hour price chart, the Dogecoin price action showcases a bullish comeback to $0.16779. This marks a bullish stand against the early April downfall, creating a bottom at $0.13219.
The recovery run from $0.13219 to $0.16779 accounted for nearly 27%. However, due to stagnation in the bullish momentum, the Dogecoin price trend now marks a potential bearish reversal.
Consolidating between the 38.20% and 50% Fibonacci retracement levels at $0.1593 and $0.16777, respectively, Dogecoin nears a potential downfall. With a double-top breakdown in the consolidation range, Dogecoin warns of a pullback to the 23.60% retracement level at $0.14899.
This will break the $0.15 psychological level and account for a near 6% drop. Furthermore, it opens the door for a potential steeper correction to the $0.13219.
Furthermore, supporting the correction chances in Dogecoin, the MACD and signal lines have given a bearish crossover. The average lines are on the verge of descending into negative territory as the red histograms intensify.
Additionally, the crucial EMA lines in the 4-hour price chart, 50, 100, and 200 EMA are in a bearish alignment. This reflects the increased bearish influence over Dogecoin.
Analyst Remains Optimistic on Dogecoin
Amid the increased possibility of a breakdown of a steeper correction in Dogecoin, Ali Martinez, a crypto analyst, highlights a bullish comeback from crypto whales in Dogecoin.
Based on the data from sentiment, Ali highlights the crypto whales acquiring more than 800 million Doge tokens in the past 48 hours. This pumps the whale holdings to 72.18 billion doge, accounting for nearly x dollars.
As the crypto whales acquire Dogecoin, the possibility of an extended recovery in DOGE price increases. In case the uptrend surpasses the 50% Fibonacci retracement level, DOGE price could reclaim the 0.20 psychological level.
