Dogecoin is staging a pointy rebound from a key technical degree that one analyst has flagged because the potential low of its present correction.
Is The Dogecoin Backside In?
On X, crypto analyst Kevin (@Kev_Capital_TA) highlighted the $0.138 area because the decisive line. Posting a weekly DOGE chart, he wrote: “$0.138 nonetheless holding robust on Dogecoin. If DOGE can maintain this degree (Macro .382 + 200W SMA) and BTC + USDT maintain their respective assist and resistance ranges then $0.138 would be the lows for this corrective interval. Nonetheless received work to do. Major focus continues to be BTC and USDT D.”
His chart reveals Dogecoin buying and selling on the 1-week timeframe, with the value lately wicking down right into a dense assist cluster round $0.138 and rebounding. That space coincides with the 0.382 Fibonacci retracement of the prior advance, explicitly marked “0.382 (0.13827),” and the rising 200-week easy transferring common that has now climbed into the identical zone. Moreover, this space coincides with an upward trendline that has guided DOGE’s value motion since mid-2023; a decisive break under it might be technically deadly.
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The bounce has been seen on decrease timeframes as properly. DOGE traded as little as $0.13443 yesterday earlier than surging to $0.152 right now, gaining greater than 13% on the intraday excessive.
Kevin has been emphasizing this degree for weeks. On November 22 he advised followers: “$0.138 is very large assist on Dogecoin people. You actually don’t wish to see that misplaced on 3D-1W closes. Clearly BTC’s efficiency would be the determiner to that final result so focus there first together with USDT D.” In his framework, the integrity of the DOGE assist cluster is inseparable from Bitcoin’s higher-timeframe construction and stablecoin flows.
The macro background is shifting in his favor. Yesterday Bitcoin rebounded from $86,184 to $92,307, prolonged to $93,958 right now and is presently round $92,816. Commenting on BTC, Kevin famous: “A detailed above $91K on the 3D-1W candle helps the concept that the counter development rally is starting in my BTC corrective section reversal zone. At some point doesn’t make a development let’s see what we are able to do.”
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That assertion builds on his November 25 outlook, the place he argued that the corrective section he has been monitoring since August–September on BTC and the “Whole 2” altcoin index is nearing completion. “There will probably be a backside fashioned and a counter development rally within the coming weeks on BTC and Altcoins,” he wrote, including that “the corrective section is sort of over” however nonetheless wants “just a little extra time to type a correct backside.”
Kevin’s DOGE chart maps the alternate options clearly. Above, horizontal resistance close to the 0.5 Fibonacci retracement sits round $0.19, whereas decrease assist is marked on the 0.236 retracement close to $0.093 alongside longer-term trendlines.
Whether or not $0.138 turns into the definitive backside of Dogecoin’s correction is dependent upon two circumstances Kevin retains repeating: DOGE should proceed to carry the macro 0.382 plus 200-week SMA and the uptrend line on 3-day to weekly closes, and Bitcoin should affirm its personal counter-trend rally with sustained higher-timeframe power.
For now, the market has made its inform clear. The reply as to if the Dogecoin backside is in begins—and probably ends—at $0.138.
At press time, Dogecoin traded at $0.14976.
Featured picture created with DALL.E, chart from TradingView.com
