DOGE is struggling to breakout — Can the bullish indicators change the trend?

Dogecoin (DOGE) is struggling to regain its upward momentum. Over the past seven days, the price has fallen nearly 4% and has continuously traded below the $0.25 mark since the end of February. Although there have been moments of slight bounce back, technical indicators still suggest a trend leaning towards the sellers, with major resistance levels constantly hindering breakout efforts.

Specifically, the Ichimoku Cloud indicator remains in the red zone, the EMA lines continue to signal a fall, and price action oscillates below key trend confirmation areas. However, the sudden change in the BBTrend indicator and some improving momentum indicators suggest that traders are closely monitoring the potential for DOGE to have a breakout.

Dogecoin faces resistance as the Ichimoku structure continues to signal a downtrend

The current Ichimoku chart of Dogecoin clearly shows a bearish structure, with price action lying below the Kumo cloud in the short term.

The Tenkan-sen line ( conversion line ) is currently below the Kijun-sen line ( base line ), further reinforcing the short-term bearish outlook.

Additionally, the price candles continue to be blocked at the Tenkan-sen level - acting as dynamic resistance - preventing any upward momentum from forming. This is a sign that the current buying force is still relatively weak.

DOGEDOGE's Ichimoku Cloud | Source: TradingViewObserving the chart, the Kumo cloud is gradually shifting from red to green, indicating the potential for a trend change if the price can approach and break through the cloud.

However, the cloud itself is still quite thick, implying that this is a strong resistance area, requiring significant upward momentum to break through. Until the price enters or clearly breaks above the cloud, the prevailing trend remains tilted towards the bears.

The current flat bottom of the Kumo can also act as a "magnet," attracting the price towards it, but for DOGE to maintain its upward momentum, the price needs to break through the cloud and turn it into a solid support area.

DOGE could reverse strongly when the BBTrend indicator turns to an upward trend

The BBTrend indicator of Dogecoin has just shifted strongly to an uptrend, jumping from -3.14 to +2 in just one day.

BBTrend (Bollinger Band Trend) is a momentum indicator measuring the strength and direction of price relative to the Bollinger Bands.

Positive values indicate upward momentum, while negative values indicate downward pressure. The more positive the value, the stronger the upward trend. Conversely, deep negative values reflect a clearer downward trend.

!()https://img.gateio.im/social/moments-03fe0316a2ea970f6fad40132ea9a88e[DOGE]BBTrend of DOGE | Source: TradingViewWith the BBTrend indicator of DOGE currently at level 2, this indicates that market sentiment may be changing and bullish momentum is improving. This strong reversal comes from increasing buying pressure and the asset is entering a bounce back phase.

Although this is not enough to confirm a sustainable upward trend, the BBTrend moving into positive territory is often an early signal for subsequent rallies — especially if supported by higher trading volumes and a clear continuation of price action.

Traders can see this as an initial signal to watch for determining the potential continuation of the uptrend.

DOGE needs to break above 0.206 dollars or fall to 0.168 dollars

The EMA lines of Dogecoin are currently still arranged in a downward trend, with the short-term lines positioned below the long-term line, reflecting the selling pressure that is still present.

If the current bounce back is not strong enough to create a breakthrough, DOGE may soon return to retest the support area of 0.168 dollars – a price level that has been held steady in recent sessions. Without a clear change in momentum, this support level could become a "magnet" attracting prices in the short term.

DOGEDOGE Price Chart | Source: TradingViewThe lack of a crossover between the EMA lines keeps the overall trend of DOGE leaning towards a fall at this time.

On the contrary, if the momentum continues to strengthen and DOGE breaks through the resistance level of $0.206, this will trigger a wider reversal. In that scenario, the next upside targets will be $0.232 and possibly $0.254, provided that the upward momentum is maintained.

Minh Anh

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The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
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