Dogecoin Price Looks Set For Another Leg — Up Isn’t The Likely Direction
Dogecoin's price trend suggests further downside is more likely than an immediate upward move due to weakening momentum and increased long-term holder selling.Summary
The Dogecoin (DOGE) price is showing signs of continued weakness, trading near $0.156 after a monthly drop of almost 19%. Technical analysis indicates that the downtrend is likely to persist, as a hidden bearish divergence was formed between November 15th and 18th, where the price made a lower high while the Relative Strength Index (RSI) made a higher high, signaling a continuation of the existing downtrend.
Furthermore, on-chain data reveals that long-term holders (wallets holding for over 155 days) have significantly increased their distribution, jumping from distributing 62.35 million DOGE on November 9th to 237.20 million DOGE by November 19th. This combination of weakening momentum and increased selling pressure from established holders suggests that short-term rebounds are likely to fail.
Key price levels dictate the next move: $0.150 is the immediate support, with potential drops to $0.140 and $0.127 if broken. For any bullish reversal, Dogecoin must reclaim the resistance at $0.163 to potentially target $0.186; otherwise, the negative trend remains intact.
(Source：BeInCrypto)