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Dogecoin rebounded in the short term and now is located at 0.0757 at the time of writing. The altcoin increased by 7.58% from 0.0706 daily low to 0.0760 today's high. Still, the rebound could be only temporary.
After the last sell-off, the rebound is natural. Still, the rate could only test and retest the immediate resistance levels before going down.
Technically, the cryptocurrency dropped below the uptrend line signaling a larger downside movement.
Still, after its strong sell-off, a rebound was somehow expected as the rate could try to confirm the breakdown. The uptrend line and the minor downtrend line represent strong upside obstacles, so as long as it stays below these levels, the altcoin could drop again.
Testing and retesting the uptrend and downtrend lines, registering false breakouts may bring us new short opportunities. Jumping and stabilizing above the downtrend line invalidates a deeper drop.
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