Dogecoin (DOGE) is once again at a critical juncture after a rejection at $0.09149. This pullback has pushed the price towards a key trendline, putting the cryptocurrency in a crucial position.

As Dogecoin tests this key support, market observers are curious if bulls can regroup and trigger a breakout. A successful move above the trend line could open the door to a renewal rallybut failure to maintain this level could lead to further downward pressure.

This analysis aims to examine the current price action of Dogecoin after the rejection at $0.09149, which saw the cryptocurrency return to a critical trendline. By examining key technical indicators and market sentiment, we aim to assess whether bulls have the potential to trigger a breakout above this trend line or if bear forces will continue to dominate, causing prices to decline further.

Bullish or Bearish? Market Sentiment Analysis on DOGE

On the 4-hour chart, Dogecoin gained momentum after a rejection at $0.09149, recently breaking through a 100-day straight Moving average (SMA) and approaching a bearish trendline. Price action suggests increasing positive pressure and market sentiment, which could pave the way for a potential breakout if the trendline is broken.

Additionally, the composite trend oscillator on the 4-hour chart suggests that the upside momentum is increasing and there is a potential breakout above the downside momentum. trend line may appear on the horizon as both the signal line and the RSI line of the indicator have moved above zero.

On the 1-day chart, Dogecoin is showing increasing bullish momentum as it aims to break above the bearish trendline and approach the 100-day straightforward moving average. Specifically, the positive move reflects growing market optimism, suggesting that if DOGE successfully breaks above the trendline, it could lead to more profits.

Finally, on the 1-day chart, the signal line has crossed above the SMA line of the composite trend oscillator, and both are moving from the oversold zone towards the zero line. This means that the momentum is shifting positively, indicating a potential rebound and strengthening the bullish outlook, as indicator seeks to escape from the oversold situation.

Key Trendline in Focus: Will Dogecoin Hold or Break?

If Dogecoin can break break through this trend line and stay above it, this could be a signal bullish continuation, potentially leading to gains towards $0.1293. A successful breakout of this level could pave the way for further gains, with the price potentially testing the $0.1491 level and exploring even higher resistance zones.

However, if Dogecoin fails to maintain its position above this level, it could fall towards the $0.09149 support range. A break of this support could lead to further declines, with the price potentially testing the $0.07456 level and reaching other lower support ranges.

Dogecoin, with a market capitalization of over $15 billion and trading volume of over $659 million, was trading at around $0.103, up 6.49% at the time of writing. Over the past 24 hours, the market capitalization is up 6.50% and trading volume has skyrocketed 52.84%, reflecting renewed interest and bullish momentum in market.

Featured image from Unsplash, chart from Tradingview.com