Dogecoin (DOGE) clears near $0.1120, key test for bulls

Dogecoin has started a novel rally from the $0.1050 zone against the US dollar. DOGE currently faces headwinds near $0.1120 and may seek more upside.

DOGE price started a decent upward move above $0.1080 and $0.1085.
The price is above the $0.1090 level and the 100-hour straightforward moving average.
A key contracting triangle is forming on the hourly chart of DOGE/USD with support at $0.1090 (data source Kraken).
The price may continue to rise if it stays above $0.1080.

Dogecoin price faces headwinds

Dogecoin price remained supported above the $0.1020 zone and started a novel rally, similar to Bitcoin and Ethereum. DOGE climbed above the $0.1080 and $0.1085 resistance levels.

The price increased by over 5% and tested the $0.1125 zone. There has been a move above the 50% Fib retracement level as part of a move down from a high of $0.1172 to a low of $0.1058. Additionally, a key contracting triangle is forming on the hourly chart of DOGE/USD with support at $0.1090.

Dogecoin price is currently trading above the $0.110 level and the 100-hour straightforward moving average. If the bulls remain busy, the price may be tempted to augment again. Immediate upside resistance is located near the $0.1120 level.

The first major resistance for bulls could be near the $0.1128 level or the 61.8% Fib retracement level in a move down from the $0.1172 high to the $0.1058 low. The next major resistance is near the $0.1145 level. A close above the resistance at $0.1145 could push the price towards the resistance at $0.1170. Any further gains could push the price towards the $0.120 level. The next major stop for bulls could be $0.1250.

Another DOGE decline?

If the DOGE price does not rise above the $0.1128 level, it may continue to decline. Initial downside support is near the $0.1090 level. The next vital support is near the USD 0.1080 level.

The main support is located at USD 0.1050. If there is a break below the support at $0.1050, the price may decline further. In this case, the price may slide towards the level of USD 0.1020 or even USD 0.10 in the near future.

Technical indicators

Hourly MACD – The MACD for DOGE/USD is currently losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is currently above the 50 level.

Major support levels – $0.1090 and $0.1080.

Major resistance levels – $0.1120 and $0.1128.