Dogecoin is staging a pointy rebound from a key technical stage 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 stage (Macro .382 + 200W SMA) and BTC + USDT maintain their respective help and resistance ranges then $0.138 would be the lows for this corrective interval. Nonetheless bought work to do. Principal focus remains to be BTC and USDT D.”
His chart reveals Dogecoin buying and selling on the 1-week timeframe, with the worth not too long ago wicking down right into a dense help 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 simple moving average 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 beneath it might be technically deadly.
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The bounce has been seen on decrease timeframes as nicely. DOGE traded as little as $0.13443 yesterday earlier than surging to $0.152 in the present day, gaining greater than 13% on the intraday excessive.
Kevin has been emphasizing this stage for weeks. On November 22 he instructed followers: “$0.138 is very large help on Dogecoin people. You actually don’t need to see that misplaced on 3D-1W closes. Clearly BTC’s performance would be the determiner to that consequence so focus there first together with USDT D.” In his framework, the integrity of the DOGE help 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 in the present day and is at the moment round $92,816. Commenting on BTC, Kevin famous: “An in depth above $91K on the 3D-1W candle helps the concept the counter pattern rally is starting in my BTC corrective section reversal zone. In the future doesn’t make a pattern let’s see what we will 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 “Complete 2” altcoin index is nearing completion. “There might be a backside fashioned and a counter pattern rally within the coming weeks on BTC and Altcoins,” he wrote, including that “the corrective section is sort of over” however nonetheless wants “slightly extra time to kind 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 help 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 depends upon two situations 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 whether the Dogecoin backside is in begins—and doubtlessly ends—at $0.138.
At press time, Dogecoin traded at $0.14976.
Featured picture created with DALL.E, chart from TradingView.com
