DOGE Technical Analysis: 4-hour Chart Shows Bearish Engulfing, KDJ Clearly Overbought

[Crypto World] Recently, I’ve been keeping an eye on DOGE’s 4-hour chart, and the price action is quite interesting.

The price has been on a roller coaster these past few days—compared to the sharp pullback at 4 PM on December 8, there’s been some improvement over noon on the 7th, but it’s dropped again compared to 8 AM on the 8th. In the end, it closed with a bearish candle, a classic bearish engulfing pattern, where the closing price smashed right through the opening price.

What’s even more discouraging is that trading volume has also declined, noticeably lower than the previous few hours. Both price and volume are falling, a combination that usually signals low market interest and a strong wait-and-see sentiment.

Looking at the technical indicators: the MACD histogram is still positive, but each bar is clearly shorter than the last, showing that bullish momentum is weakening. The KDJ is even more exaggerated, spiking to 82 straight into the overbought zone. There’s no golden or death cross yet, but this level usually signals a pullback pressure.

If you’re looking to trade, the key levels are roughly as follows:

• Support is around 0.1377, where you could consider building a position in batches
• First buy point at 0.13867, second buy point at 0.1377, with a stop-loss also set at 0.13867
• Resistance at 0.1434; if it breaks through, look for the previous high at 0.15022
• For short positions, set your stop-loss above 0.15022

It’s clearly a range-bound pattern, so short-term swing trading might be more suitable than betting on a single direction.