Dogecoin Moves Higher After Yesterday’s Sell-Off
Dogecoin received support near $0.2350 and is trying to gain upside momentum as Bitcoin rebounds after yesterday’s sell-off.
On Monday, the world’s leading cryptocurrency made an attempt to settle below the important support level at $44,000 but failed to develop sufficient upside momentum and moved back above the 50 EMA which is located at $45,200.
Currently, Bitcoin is trying to settle above the resistance level at $46,000. In case this attempt is successful, Bitcoin will gain additional upside momentum which will be bullish for Dogecoin and other cryptocurrencies.
Dogecoin failed to settle below the support level at $0.2350 and is trying to get to the test of the resistance at $0.24. RSI is in the moderate territory, and there is plenty of room to gain upside momentum in case the right catalysts emerge.
If Dogecoin manages to settle above the resistance at $0.24, it will head towards the next resistance level which is located at $0.2450. A move above this level will open the way to the test of the resistance at $0.2520. In case Dogecoin gets above $0.2520, it will continue its upside move and head towards the next resistance level at $0.2570.
On the support side, Dogecoin needs to settle below the support at $0.2350 to have a chance to develop downside momentum in the near term. The next support level for Dogecoin is located near the recent lows at $0.23.
In case Dogecoin manages to settle below the support at $0.23, it will gain additional downside momentum and head towards the next support level near $0.2250. A move below this level will open the way to the test of the support at $0.2190.
It should be noted that Dogecoin will likely remain sensitive to the dynamics of Bitcoin in the upcoming trading sessions, so traders should keep an eye on the movements of the world’s leading cryptocurrency.
