Drive Lower Challenging Vital Support Levels Today

DOGE/USD has come under pressure the past week of trading and important support levels are now within sight for speculators.

After reaching a high above the five-and-a-half cents value yesterday, DOGE/USD has taken a tumble along with the broad cryptocurrency market. DOGE/USD, as of this writing, is hovering above important support levels near five-and-one/tenth cents and if its value stumbles and the five-cent mark is challenged, it could sound alarm bells for speculators and create another dose of volatility.

On the 20^th of March, DOGE/USD was near the six cents juncture, and on the 13^th of March, Dogecoin was near the six-and-three/tenths cents mark. The loss of value within DOGE/USD may have proven an opportunity for speculators who believed it has been overvalued. However, DOGE/USD has also offered a steady diet of reversals higher. However, if the current support levels prove vulnerable and the broad cryptocurrency market remains under pressure short term, speculators may believe DOGE/USD could traverse lower.

A look at a three-month chart technically explains the volatility of DOGE/USD quite well. Dogecoin was trading below one cent on the 27^th of January before it started to explode higher. The sudden run higher culminated with prices above eight cents on the 7^th and 8^th of February, but since then sustaining higher values has proven difficult.

The current price of DOGE/USD is near values seen on the 7^th of March, and if the five-and-one/tenth cents value fails to hold, traders may suspect the four-and-eight/tenths cents juncture will become the next target technically. Dogecoin is a speculative asset and traders should be using risk management when they pursue their wagers.

The recent sell-off seen in the broad cryptocurrency market may be a signal that DOGE/USD will continue to prove vulnerable. Short-term traders should look for selling opportunities on small rises in value. If DOGE/USD cannot puncture the five-and-two/tenths cents resistance level near term, this may signal an additional sell-off will be demonstrated.

.Selling DOGE/USD should be done with limit and take-profit orders that are fully working within your trading platform. Dogecoin and other cryptocurrencies appear ready to deliver plenty of additional volatility short term and risk-takers should be prepared for swift price action.

Dogecoin Short-Term Outlook:

Current Resistance: 0.05230000

Current Support: 0.05030000

High Target: 0.05400000

Low Target: 0.04770000