The Dogecoin price has generally followed the trajectory of other altcoins against Bitcoin and has seen deeper declines compared to the pioneer cryptocurrency. These declines have left the leading meme coin in the red by market cap, sending it back down to levels not seen since 2023. As a result, Dogecoin’s price is now in a precarious position where it must make a big move or DOGE investors risk a further decline as the altcoin struggles to find support.
Next trajectory for the Dogecoin price
Bitguru, in an analysis of outlined where the Dogecoin price lies and what could determine the next step for the cryptocurrency. All this returns to a critical level that would send the price in both directions, making this the point where both bulls and bears are now battling for dominance, and this level is at 0.166.
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As the crypto analyst explains, the Dogecoin price is already in a clear downtrend, and there are no indications that it will actually retreat any time soon. In any case, lateral movement has been the order of the day, and catalysts that could trigger a new rally have not materialized.
It so happens that the Dogecoin price was eventually rejected at $0.1823, which is a major high for the digital asset. Therefore, the sellers regain control as the price moves towards $0.166. This $0.166 level is above the key support at $0.16, meaning it is imperative for bulls to actually regain and hold this level.
Another problem that the digital asset is facing at the moment is that it continues to reach lower highs. Obviously, this is a bearish development for any cryptocurrency as it means buyers weakening and sellers gaining control of the market. If these lower highs continue, we could see it further decline for the Dogecoin price as opposed to a possible recovery.
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The Dogecoin price tried to recover this weekend but was eventually pushed back down as the Bitcoin price struggled at $95,000. Reclaiming the $0.166 is now the next big task for bulls if the meme coin is to continue its rise.
If it fails to regain $0.166 with momentum, Dogecoin price could correct lower. As the decline deepens, the next major support level is firmly at $0.15, where a buying wave could emerge that could trigger a near-term upside.
Featured image of Dall.E, chart from TradingView.com