Dogecoin (DOGE) has been struggling to regain its footing in the volatile crypto market.
The meme-inspired cryptocurrency is currently trading around $0.0905, down nearly 6% in the past 24 hours.
For many, this recent weakness has raised concerns about the next possible move.
Analysts issue warnings amid bearish signals
Some analysts are cautioning that Dogecoin could drop even further.
Technical charts suggest that if the current support around $0.090 gives way, it might be the last line before a deeper fall.
A potential target cited by bearish observers like Cheds Trading is $0.06, which would mark a significant decline from current levels.
This scenario is reinforced by Dogecoin’s position below key moving averages, including short- and long-term EMAs and SMAs.
Such positioning often indicates sustained selling pressure and makes a quick rebound less likely without strong buying momentum.
Additionally, low trading volumes and ongoing distributions to exchanges suggest that market participants remain cautious.
If sellers continue to dominate, the path toward $0.06 becomes more plausible.
Even on the weekly charts, technical indicators like the Bollinger Bands show DOGE has room to fall before reaching oversold extremes.
Bulls target $0.098
On the flip side, there are signs that Dogecoin could find an upward spark.
Some traders point to the support level near $0.090 as a potential base for a rebound.
If buyers step in and push Dogecoin past the immediate resistance around $0.098, it could trigger a short-term rally.
Beyond $0.098, higher targets around $0.109 and $0.118 could come into play if momentum strengthens.
Analysts have also noted subtle signs of positive divergence when comparing Dogecoin’s performance against Bitcoin.
The Relative Strength Index (RSI) has shown slight improvement even as Bitcoin struggles, which could hint at an early momentum shift.
Such moves often precede breakouts when confirmed by consistent price action.
For bulls, reclaiming $0.098 is critical to reversing the current downtrend.
It would signal renewed confidence and could attract buyers who have been waiting for a clearer sign of strength.
What traders should watch out for
Dogecoin’s short-term future depends heavily on how it behaves around key levels.
A drop below $0.090 could open the door to $0.08 or even lower, while a successful defence could give bulls a chance to test $0.098.
Investors and traders should monitor volume, exchange flows, and broader market trends to understand which scenario is more likely.
While the token has shown resilience in the past, the current market environment is unforgiving.
For now, Dogecoin remains at a crossroads, and the next few days could determine whether the token resumes its climb or slides toward new lows.
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