Dogecoin (DOGE) is nearing a pivotal level as it trades within a falling wedge, with bulls defending support near $0.205.
Falling Wedge Formation
Dogecoin’s price movement has carved out a classic falling wedge structure on the 4-hour chart, signaling a potential bullish reversal. This setup, often seen as a precursor to upward momentum, has traders closely watching as DOGE approaches the wedge’s narrowing end.
Trading Levels and Volume
DOGE’s short-term future hinges on its ability to hold the $0.205 area. If this level gives way, the falling wedge pattern will lose validity. Volume patterns indicate growing interest among buyers at the lower boundary, hinting at a build-up for a potential move upwards.
Market Sentiment
DOGE’s price has declined by 4.10% over the last 24 hours, currently trading at $0.1961. Weekly losses have deepened to 17.52%, reflecting broader market weakness. The bearish pattern remains bullish as long as support is not broken.
This week is set to be decisive as price action between the levels of $0.205 and $0.22 will indicate whether bulls can re-establish dominance or if bears will maintain control.
