Dogecoin (DOGE) Price Increasingly Bearish, Could Drop Double Digits as Key Support Fails

Dogecoin (DOGE) Price Analysis: Bears Seize Control

Dogecoin (DOGE) surged nearly 50% in September, but a reversal on September 29 has since resulted in a loss of over 20%.

Technical Landscape

Analyst Kevin (@Kev_Capital_TA) highlights a falling wedge pattern that formed for months but failed to break out successfully. This suggests a potential downward trend.

Significant Resistance

DOGE's failure to break above the 200-week SMA and the rejection at this level emphasize strong bearish sentiment.

Bearish Engulfing Candle

A bearish engulfing candle has emerged on the chart, indicating a reversal of trend. Sellers have gained control, and bulls have been overpowered.

Weakened Bullish Potential

Dogecoin's return within the falling wedge after the failed breakout weakens its bullish potential. This re-entry is viewed as a "fakeout" and contributes to a bearish outlook.

Short-Term Breakdown

On the 4-hour chart, Dogecoin has broken below the 200 SMA and the falling wedge trendline. This breakdown suggests strong bearish momentum in both short-term and long-term perspectives.

Next Key Levels

Kevin identifies an immediate price target of $0.085, approximately a 20% drop from the current price. Additional support levels may exist around $0.06.

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