Dogecoin Price Shows Signs of Recovery, But Faces Strong Resistance
Dogecoin’s price is trying to bounce back after weeks of little movement and falling prices. Buyers (or "bulls") are slowly regaining control, but the recovery is hitting a big challenge around the $0.205 level, where strong resistance is building up.
What's Happening with Dogecoin?
A crypto analyst named Lingrid shared a chart showing that Dogecoin is forming a common pattern that usually continues a trend. After dropping earlier, Dogecoin bounced back from a rising trendline and broke out of a pattern called a "Falling Wedge." This is usually a bullish sign.
Now, the price is testing the breakout point around $0.175. This level is very important because it lines up with both the previous wedge and the rising trendline. Holding above this level could confirm the recovery and lead to more gains.
Traders are watching to see if Dogecoin can rise to $0.19, which is the next target. If it breaks through, it could climb toward $0.20–$0.21. But these levels are also areas where sellers might step in and slow things down.
What Could Happen Next?
Even though the price trend is looking positive with higher lows forming, Lingrid warns that the resistance at $0.19 and $0.20 could stop or slow the rally. Also, trading volume (how much DOGE is being bought and sold) will be key—if volume increases, the rally might continue. If not, it could fade.
Risk of a Drop if Support Fails
Despite the recent bounce, Dogecoin is still at risk. If it falls below the $0.175 support level—especially with a strong drop—it could cancel the breakout and send the price down toward $0.15, which would be a 25% loss from the current level of $0.20.
Lingrid also said that if buyers lose interest or volume weakens, it could cause the market to hesitate, making a recovery less likely. That’s why traders are keeping a close eye on the $0.175 zone. It’s the key level that will decide if Dogecoin keeps rising or drops again.
