$DOGE

‌
The market structure has shifted from a bullish uptrend into a bearish correction, evidenced by the series of lower highs and lower lows formed after the rejection at the 0.06669 local top. Price has broken down through key short-term support levels, creating a bearish market structure on the intraday timeframe.

The price is currently trading at 0.06288, hovering just above the critical support zone of 0.06206 (the 24h low). The recent candles show heavy selling pressure with very little buying volume, indicating that bears are currently in control and the momentum is downward.

My plan is to monitor the reaction at the 0.06200 level. If the price breaks and closes below this support, I will look for a short entry. Conversely, if we see a strong bullish rejection candle (like a hammer or bullish engulfing) at this support, I will consider a long scalp.

I predict a brief consolidation or a "dead cat bounce" up to the 0.06400 region before further downside continuation, as the MACD is currently below the zero line and showing bearish momentum.

What Trade Plan I Follow and Why❓️

I am following a trend-following (bearish) plan with a breakout confirmation strategy. I choose this because the 1-hour chart shows a clear breakdown from the upper channel, and the MACD histogram is red with the signal lines crossing downward, suggesting the path of least resistance is down.

When I Start My Trade❓️

I will start my trade only if a 1-hour candle closes clearly below 0.06200, or if the price retests the 0.06450 resistance level and shows rejection (shooting star or bearish engulfing) with low volume.

The current setup shows a series of Bearish Marubozu and Red Marubozu candles (long red bodies with very small wicks) leading into the support, indicating strong selling conviction, alongside a Doji forming right now at 0.06288 which suggests indecision and a potential pause.

Both Scenario Setup❓️

· Bearish Scenario: A break and close below 0.06206 opens the door to 0.06000 and lower.
· Bullish Scenario: A double bottom formation at 0.06206 with a bullish divergence on the MACD would invalidate the bearish outlook and target 0.06500.

The short-term bias is Bearish due to the lower highs and MACD crossover, but the price is sitting at a critical support level. I will wait for a confirmed breakout or a strong reversal signal before entering a position, as trading in the middle of this range is risky.