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Dogecoin is trading in the green at 0.0786 at the time of writing. In the short term, the bias remains bullish. The altcoin jumped higher even if the price of Bitcoin turned to the downside after reaching a new high on Friday.
Dogecoin is up by 2.60% in the last 24 hours but it's down by 2.05% in the last 7 days. Technically, the current leg higher could represent only a retest before going down.
As you can see on the H1 chart, the rate dropped below the uptrend line (up channel's support) signaling that the upwards movement ended.
Now, it has tested and retested the broken uptrend line, developing a minor flag pattern which could announce a deeper drop.
As long as it stays above the minor uptrend line and above 0.0770, Dogecoin could jump higher. Taking out the 0.0817 validates an upside continuation.
On the other hand, a valid breakdown below the minor uptrend line, making a new lower low activates a strong sell-off.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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