- Dogecoin ended October with a 20% drop, marking its first red October since 2020.
- The coin trades at $0.1866, showing a neutral-to-bearish trend as November begins.
- Holding support at $0.15 could set the stage for a rebound toward $0.26 later this month.
Dogecoin entered November on a cautious note after a rough October that saw prices fall by nearly 20%. It was the first time since 2020 that the meme-inspired coin closed the month in red, back then with only a 2.6% decline. Despite its volatile nature, historical data show mixed results for Dogecoin in November, with gains recorded in three of the last five years.
As of now, DOGE is trading at $0.1866, down roughly 9% on the weekly chart. The price remains below the Ichimoku cloud, reflecting a neutral-to-bearish sentiment among traders.
The Bollinger Bands are narrowing, a technical pattern often signaling reduced volatility before a breakout. The upper band is set near $0.286 and the lower around $0.150, forming a key trading corridor that highlights current market indecision.
Technical Picture Suggests Caution Among Traders
KrissPax, a market observer, with respect to the technical formation, there is minimal support on the bullish front. The baseline in the Ichimoku Cloud, known as Kijun-sen, is $0.2019, constituting the first level of resistance. While the conversion line, or Tenkan-sen, is in line with $0.20. If Dogecoin is to strengthen, support must come from levels above $0.20-$0.22.
The Relative Strength Index (RSI) is 44.57, showing that the index is below 50. This means dwindling support, and DOGE might continue consolidating in the short run.
The MACD indicator also reveals a tightening gap between the signal line and MACD, which might be an indicator of a possible bear’s crossover if the downtrend persists. Values at approximately -0.0045 and -0.0010 imply weak market structure and weaker support.
DOGE Rangebound But Building Momentum for $0.26 Push
If Dogecoin is able to hold the support level at $0.15, the first week of November might see the coin ranging between $0.18 and $0.21. Breaking out past $0.22 could result in the possibility of reaching $0.26-$0.29, which is close to the upper level of the Bollinger Bands. Going below $0.18 might result in a revisit of $0.15, which is the next level of support.
Analyst BitGuru pointed out that DOGE has been ranging sideways, with buyers entering at the lower side. Support in such an extended period might give enough ground to break out to the levels of $0.22 to $0.26 later in the month.
Also Read: Dogecoin Rebound Incoming: $0.26 Target After 440 Million DOGE Sell-Off
