Dogecoin Price Prediction: Bitcoin worries to pile more pressure on DOGE

Saif Naqvi

Retail traders have overlooked Dogecoin for quite some time. The alt was currently trading at a near 80% discount to its May ATH and offered a negative monthly ROI of 22%. Mini rallies have not resulted in extended price recovery and instead, DOGE’s value has declined below important support levels. While oversold readings on the RSI and Bollinger Bands do prompt a rebound, broader market worries could extend DOGE’s value by another 6%-10% before buyers renter the market. At the time of writing, Dogecoin traded at $0.17, down by 5.4% over the last 24 hours.

Dogecoin 4-hour time frame

Source: TradingView

Trading below the 20 (red), 50 (yellow), and 200 (green) SMA’s, Dogecoin faced the threat of short-selling heading forward. Although the 4-hour RSI and Bollinger Bands flashed oversold readings, Bitcoin’s slip below $46,000 would stave off any long bets in the DOGE market for the moment. The lack of immediate support levels can see DOGE decline by another 6%-10% in the coming hours. Support between $0.16-$0.15 would be crucial but if bears push through, expect another 13% decline to 4 December’s swing low of $0.13.


As highlighted earlier, oversold readings on the RSI and Bollinger Bands might not be enough to warrant new longs. Extreme FUD could even see the RSI push well below 20- something which was observed during the broader market crash between 3-4 December. To initiate a rebound, the bulls now faced an uphill task. The 20-SMA (red) must be toppled on good buy volumes and bulls must overcome $0.1855 resistance without any hiccups. A close above $0.1966 would take short-sellers out of the picture and pave way for a more sustainable rally.


Those wishing to enter the market must wait until DOGE shows positive signs between $0.16-$0.15 support. Until then, short-selling is the way to go. Safe entries can be made if and when DOGE tags its 4 December’s swing low of $0.13.