Dogecoin price drops again, but a major support still holds

Written by: Ali Raza
June 22, 2020
  • Dogecoin (DOGE) performed rather well in early 2020, as well as during the recovery period after mid-March.
  • The last month saw the coin stuck between two levels, unable to go beyond any.
  • Right now, the coin is nearing its support, which could allow it to bounce back.

Dogecoin (DOGE), a cryptocurrency known for being one of Elon Musk’s favorites, recently once again started going down.

Dogecoin price in 2020

DOGE saw a rather decent performance in early 2020, starting the year at $0.020, only to surge to $0.0024 in the first week of January. This level served as the coin’s major resistance, which it attempted to break several times between January 6th and January 30th.

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It finally managed to do so in early February, which was followed by yet another major surge to $0.0035. However, immediately after reaching this level, the coin started to drop again.

There were several supports that attempted to stop the crash, or at least slow it down. One of them was at $0.0030, while another was at $0.0025. However, both were broken within two weeks from the moment DOGE hit its yearly high.

The coin kept spiraling down, and it even breached a resistance-turned-support at $0.0024, once again turning this level into a resistance. However, the drop stopped soon after, and DOGE seemed like it would bounce back up.

That was when the mid-March price crash hit, knocking the coin’s price to its yearly low at 0.0015. This was DOGE’s new bottom, although it did not spend a lot of time there. The coin joined Bitcoin in a slow but steady recovery that lasted from March 12th to April 23rd. At this point, DOGE saw yet another major surge which finally allowed it to breach the resistance at $0.0024.

Since then, DOGE kept fluctuating between this new support and a resistance at $0.0025, never venturing beyond either, although it spent more time near the resistance than its support.

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DOGE starts another descent

This started to change over the course of the last two weeks, however, as Dogecoin slowly spiraled down towards $0.0024.

At the time of writing, the meme coin sits at $0.002465, barely above the support. However, it is trading in the green against the USD, if barely, with a 0.04% increase in the last 24 hours.

However, when it comes to BTC, DOGE is in the red with a decrease of 0.32% over the same period. It currently sits as the 33rd largest crypto, with a market cap of $308.3 million and a daily volume of $158.7 million.

From its past performance, DOGE could easily see another surge soon and try to breach its resistance once more. That is, unless a large, market-wide crash doesn’t hit. In that case, DOGE’s support will be tested, and it could simply break yet again.