The bull pattern on the Dogecoin (DOGE) chart gives hope: when will the rescue rally start?

Dogecoin (DOGE), the most popular meme coin in the cryptocurrency market, was affected by the overall bearish trend in the market and entered a minor correction phase. Last week, the price dropped from $0.083 to $0.075 after a 10.4% drop. However, this downward move appears to be part of a bullish continuation pattern known as the 'flag' on the four-hour chart. This pattern could potentially be useful for investors looking to enter at a better price.
A bearish crossover between the 20 and 50 EMA signals the continuation of the ongoing correction. Falling DOGE price could offer an opportunity for a pullback to a lower support trendline.
The intraday trading volume for Dogecoin is $383.5 million. This means a 31% gain is achieved.
Currently DOGE price fluctuates within the channel structure of the flag pattern. The meme coin's price has bounced off the pattern's support trendline three times and the overhead resistance twice. This means that traders are active at these levels. Flag patterns usually mean a breather after a significant price move and often indicate a continuation of the previous trend.
Having dropped 4.6% in the last 24 hours, DOGE retested the support point. A possible rebound from the aforementioned trendline could increase buyers' confidence to challenge the resistance. Until this resistance remains intact, Dogecoin could extend its retracement drop. But if it breaks, it could potentially signal strong buying momentum and get more investors to join the rally.
If crypto buyers manage to break this resistance, the price of the popular meme coin could rise by 8% to break the critical hurdle of $0.085.
Will DOGE continue to decline?
DOGE price is currently following a heavily supported recovery rally with a key support point. However, in the midst of an ongoing correction phase, it seems that sellers are trying to break this important support. A successful breach could accelerate the selling pressure, putting Dogecoin in a major correction phase. If this happens, the prolonged decline could potentially push prices down to $0.063 and then to $0.053.
Price above the 200 EMA indicates that the short-term trend is bullish. On the other hand, the RSI on the daily chart is below the 40 mark. This indicates that the selling momentum is increasing and the price will continue to decrease.
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