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Dogecoin stands at a critical juncture, facing bearish indicators that suggest further price declines. The lack of strong buying pressure indicates a less-than-likely rapid recovery, contrary to some expectations. However, the situation isn't entirely bleak.

Recent price action, characterized by lower highs and weaker rebounds, shows a persistent downtrend since its peak above $0.40. Dogecoin is currently battling to hold above key support levels, with $0.19 acting as a crucial threshold. Should this level be breached, losses could accelerate, potentially pushing DOGE towards $0.17 or lower. Resistance sits at $0.25, currently coinciding with the 50-day Exponential Moving Average (EMA). Bulls need to push DOGE above this level and sustain the momentum to slow the decline.

Despite this, a breakout remains unlikely given the current weakness, absent a significant shift in market sentiment. A "death cross," where a shorter-term moving average (like the 50-day EMA) crosses below a longer-term moving average (like the 100-day EMA), is a strong bearish signal, indicating waning momentum and potential further downside. While not yet confirmed for DOGE, the narrowing gap between these EMAs suggests it's imminent. Historically, death crosses have preceded significant price drops, especially in weak markets.

Confirmation of this death cross could lead to an extended period of bearishness and further declines towards lower support levels.

Dogecoin's prospects? While a reversal is still possible, the impending death cross significantly increases the risk. Technical indicators suggest Dogecoin may face further downward pressure in the coming weeks unless bulls swiftly reclaim higher resistance levels. Traders should closely monitor the crossing of the 50-day and 100-day EMAs, as it could significantly impact DOGE's immediate future. Read the original article on U.Today