What’s Happening with Dogecoin Amidst the Recent Bitcoin Drop?

Developments in the cryptocurrency market continue at full speed. Recently, Bitcoin, which rose to the level of $38,000, lost $2,000 in value in the last few hours. At the time of writing this article, Bitcoin is trading at $36,378. While this development has caused a decline in many altcoins, what is happening in the Dogecoin camp? Let’s take a look together.

Dogecoin Chart Analysis

The first notable formation in the Dogecoin daily chart is the descending wedge structure. With the recent rise, the resistance line in this formation acted as support for DOGE today. Additionally, the fact that the EMA 200 level (red line) served as support during the decline is a positive development worth noting for DOGE.

The support levels that need to be followed for DOGE are respectively; $0.07149, $0.06742, and $0.06521. Especially, the break of the $0.07149 level would cause DOGE’s price to enter the formation zone and weaken the upward momentum. In such a case, the first target would be the EMA 200 level, and the second target would be the formation support line.

The resistance levels that need to be considered for DOGE are respectively; $0.07662, $0.08038, and $0.08422. Especially, the daily bar closing above the stubborn $0.076662 level in recent days will ensure the continuation of the upward momentum for DOGE.

DOGE/ETH Chart Analysis

The DOGE/ETH pair’s daily chart draws attention to the support line that has been in effect since August. The pair, which gained strength from the support in the early days of November, continues its upward trend by closing above the EMA 200 average (red level). The recent loss of momentum in recent days can be a cause for concern for many investors.

The support levels that need to be followed for DOGE/ETH are respectively; 0.0000390, 0.0000385, and 0.0000380. Especially, if a bar closes below the 0.0000385 level, it will lead to a further acceleration of the downward momentum by staying below the EMA 7, EMA 21, and EMA 200 levels, and in this case, DOGE will continue to lose value against Ethereum.

The resistance levels that need to be considered for DOGE/ETH are respectively; 0.000041, 0.000042, and 0.000043. If the daily bar closing above the unbeatable 0.000041 level occurs, it will accelerate the upward momentum and cause DOGE to gain value against Ethereum.