The Dogecoin (DOGE) price risks breaking down from a corrective pattern. The Shiba Inu (SHIB) price has broken down from a crucial support level.
Dogecoin Price Fails to Break Out
The technical analysis for the DOGE price shows that it has fallen underneath a descending resistance line since Nov. 1. At the time, it had just created a double top pattern, combined with bearish divergence in the RSI.
The drop led to a low of $0.07 on Nov. 9. Afterward, the Dogecoin price bounced (green icon), validating the $0.07 area as support. This is the 0.786 Fib retracement support level and a horizontal support area.
It is worth noting that the Nov. 9 low coincided with an extremely oversold level in the six-hour RSI (green circle).
Currently, the Dogecoin price is trading right at the descending resistance line. Whether it breaks out or gets rejected will likely determine the direction of the future trend. A breakdown from the…
