DOGE Tests $0.13 Support Level After Extended Decline

Dogecoin is trading near crucial horizontal support after an extended downward move. The token is approaching an area where a base might form if selling pressure begins to ease. DOGE/USD has been trending lower since October, now sitting around the $0.13 level after a series of lower highs and lower lows.

For several weeks, DOGE has faced consistent downside pressure, with each bounce attempt failing to shift the overall structure. The chart shows a clear bearish trend marked by steady red candles and weak upside follow-through. Price has gradually declined through mid-December, bringing Dogecoin back to a level that previously served as a reference zone during earlier market moves.

As one analyst noted, “If DOGE is going to form a base, it would likely occur at this level.” The current area isn’t a confirmed reversal point, but rather a zone where selling momentum may start to slow. There’s no visible confirmation of a trend change yet, but the proximity to support has traders watching closely for signs of consolidation rather than further downside acceleration.

This setup matters for the broader crypto market because Dogecoin often reflects shifts in speculative sentiment. A sustained hold near current levels could signal temporary stabilization, while a decisive break below support would confirm the ongoing downtrend. As DOGE trades near this potential turning point, its next move may influence short-term volatility across high-beta digital assets, especially within the meme coin space.

My Take: The $0.13 level represents a critical test for DOGE. While the downtrend remains intact, this support zone could provide temporary relief if buyers step in. Without bullish catalysts, however, further weakness seems likely.

Source: Crypto Tony