$0.00320 resistance emerges as short-term hurdle after bounce from major support
Dogecoin (DOGE) has rebounded strongly after whale accumulation near the $0.00280–$0.00290 demand zone, gaining over 10% in the last 24 hours to trade around $0.00317. The move came after multiple successful retests of the green support area, which has acted as a critical buy zone since late July.
Technical analysis of the 4-hour chart shows DOGE breaking out of a prolonged falling wedge pattern in late June, followed by a period of sideways consolidation. This latest rally was sparked by high-volume buying, suggesting that large holders (whales) are adding to their positions at discounted levels.
“When DOGE approaches key demand zones and volumes spike, it’s often a sign that bigger players are positioning for a potential upside move,” noted BITX analyst.
However, the current advance has run into selling pressure at the $0.00320–$0.00330 supply zone (highlighted in red), a level that previously triggered sharp pullbacks. This area is now acting as short-term resistance, leading to profit-taking from leveraged longs and possible distribution by larger wallets.
If DOGE can close above $0.00330 with strong volume, the next upside targets lie at $0.00350 and $0.00380, levels where previous rallies stalled. Conversely, failure to break this supply zone could result in a retracement back to the $0.00285–$0.00290 support area.
Market sentiment remains cautiously bullish, with traders watching whale activity closely. Sustained accumulation at lower levels combined with a clean breakout above resistance could shift DOGE’s short-term trend from consolidation to a recovery phase.
For now, the $0.00285 demand zone and the $0.00330 supply zone form the key battleground. A move out of this range will likely dictate Dogecoin’s next major trend in August.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.