Dogecoin previously traded in a clear upward structure, but the daily chart now shows a confirmed shift into a downtrend.
Earlier in the year, price formed higher highs and higher lows, supported by sustained closes above the 50 day EMA.
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That structure broke down after Dogecoin failed to hold above the $0.24–$0.26 region, which marked the prior distribution zone.
Once price rolled over from that area, selling pressure increased and momentum flipped.
Since October, Dogecoin has printed a sequence of lower highs and lower lows. Price also moved decisively below the 50 day EMA, which now slopes downward and acts as dynamic resistance near $0.143.
Each rebound toward this moving average has failed, reinforcing the bearish structure.
This behavior confirms that the earlier uptrend has ended and that sellers currently control the broader direction.
Horizontal levels further support the downside bias. The former support near $0.169 was lost and now acts as resistance, while the higher $0.199 zone remains well above current price and outside the immediate trading range.
On the downside, price recently tested the $0.12 area before bouncing. However, that bounce remains corrective rather than impulsive, as Dogecoin still trades below key resistance levels and below the EMA.
Momentum indicators align with the price structure. The RSI recovered from oversold conditions and moved into the mid range near 55, but it failed to push into strong bullish territory.
This behavior typically signals a relief bounce within a downtrend rather than the start of a new uptrend.
Volume also expanded on the recent rebound, yet follow through weakened quickly, suggesting limited buyer commitment at current levels.
Overall, the chart shows a completed transition from an earlier uptrend into a sustained downtrend.
Until Dogecoin reclaims the 50 day EMA and holds above the $0.17–$0.20 resistance band, the broader structure remains bearish, with rallies likely acting as selling opportunities rather than trend reversals.
Dogecoin Tests Local Resistance After Short-Term Trend Reversal
The lower-timeframe chart shows Dogecoin shifting from a prolonged downtrend into a short-term upward structure.
Earlier price action moved inside a descending channel, with consistent lower highs and lower lows.
That structure ended once Dogecoin broke above the descending trendline near the late-December base.
The breakout marked a clear change in direction, as price accelerated higher with stronger momentum.
After the breakout, Dogecoin formed a series of higher lows, supported by a rising trendline. Price climbed sharply from the $0.12 area and entered a consolidation phase near $0.15–$0.155.
This zone now acts as local resistance, where sellers have capped upside attempts several times. However, price has not broken back below the rising support, which keeps the short-term bullish structure intact.
The consolidation itself appears constructive rather than weak. Dogecoin continues to compress between rising support and flat resistance, forming a tightening range.
This behavior often reflects absorption, where buyers defend higher lows while supply gradually thins near resistance. As long as price holds above the rising trendline, the structure favors continuation rather than rejection.
Overall, this chart contrasts with the broader daily downtrend by showing a local trend reversal on lower timeframes.
Dogecoin has already invalidated its prior bearish channel and now trades in a bullish consolidation.
A clean push above the $0.155 resistance would confirm follow-through, while a breakdown below the rising support would signal that the move was corrective rather than the start of a larger upside phase.
Disclosure:This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Kriptoworld.com accepts no liability for any errors in the articles or for any financial loss resulting from incorrect information.
Tatevik Avetisyan is an editor at Kriptoworld who covers emerging crypto trends, blockchain innovation, and altcoin developments. She is passionate about breaking down complex stories for a global audience and making digital finance more accessible.
📅 Published: January 8, 2026 • 🕓 Last updated: January 8, 2026
