Dogecoin price has remained on a downtrend for over a month now. With the ongoing risk aversion, the altcoin will likely curb its gains in the ensuing sessions. The crypto fear & greed index is signaling extreme fear in the crypto market. In Tuesday’s session, it is at 25, which is an improvement from Monday’s 16. In comparison, the index exuded fear in the past week and greed in the previous month.
Dogecoin price prediction
DOGE is hovering around 1.8000 after bouncing off Monday’s low of 0.1596. Despite the recorded gains, the altcoin is still on a downtrend. The descending channel pattern, whose formation began in early November is a sign that it may remain under pressure in the short term.
At the time of writing, Dogecoin price was up by 0.78% at 0.1800. On a four-hour chart, it is trading along the 25-day EMA and slightly below the 50-day EMA. At its current level, it may rise further to find resistance along the 50-day EMA at 0.1905. Above that zone, it may hit the psychological level of 0.2000 before pulling back.
On the flip side, erasing the day’s gains will likely have Dogecoin price find support at 0.1602 or lower at the psychological 1.1500. For a trend reversal to occur, there needs to be enough bullish momentum to hit and surpass the prior support zone of 0.2350.