The price of Dogecoin has spent the past few days noticeably weaker phasefalling from the mid-$0.18 region on an extended decline that has kept the price tilted to the downside. The chart shows a high that formed near $0.18311 before sellers forced the price into a narrow downtrend, but any attempt at a bounce turned into another correction.
BitGuru Technical Analysis it focuses on why this rebound attempt is still weak and what Dogecoin needs to break before any meaningful rally can begin.
Dogecoin price trend down and repeated corrections
Structure Dogecoin price action since reaching $0.183 on November 10 clearly shows weakness. After reaching $0.18311, Dogecoin slipped into a descending channel, with the downtrend highlighted by lower tops through November 11 and 12. Every time the price tried to push higher, the move stalled at a predictable level, creating another corrective momentum. The chart clearly shows this during the November 13-14 period, where a modest recovery reached $0.16598 before the sellers regained control.
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Since then, the price pattern shows that Dogecoin price is following a controlled downtrend. Selling pressure is consistent, and any bounce so far has been capped by the same resistance around $0.166. Momentum has been falling for most of the past week, keeping the price of Dogecoin suppressed below this price level.
the latest candles on the chart show that Dogecoin attempted another recovery after falling to the $0.153 area. BitGuru noted that this bounce is not enough to confirm a reversal, and a stronger recovery will only be confirmed if it breaks above the nearby resistance zone.
The current price over the past few days shows that Dogecoin is holding above short-term supportbut has not yet shown the strength necessary to break out of the structure laterally downward. Until the candles break above the compression zone formed between November 15 and 16, then Dogecoin could continue to trade sideways.
Dogecoin / TetherUS. Source: BitGuru On X
The Dogecoin resistance zone must be broken
BitGuru’s main focus is the resistance zone that has rejected Dogecoin multiple times. On the chart, that resistance spans the range between $0.163 and $0.167, coinciding with the point where the last two phases of the consolidation stopped. Each time Dogecoin reached this area, the selling pressure increased, creating another correction.
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The chart clearly shows this in the boxed area that led to the November 16 decline, where Dogecoin hovered below $0.16598 for several hours before slipping back. This zone acts as a barrier that prevents Dogecoin from starting a new rise.
According to BitGuru, the market needs a clean break above this range before any stronger recovery can be confirmed. Without that breakthrough, the price of Dogecoin will still be vulnerable to further downward movement. At the time of writing, Dogecoin is trading around $0.1566 and is well below this resistance block.
Featured image created using Dall.E, chart from Tradingview.com
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