Dogecoin (DOGE) price action had no support from the market as investor sentiment was hurt by the Russia-Ukraine turmoil and recent volatility over the past trading week. With DOGE bulls not seeing fresh interest rate flows, it seems increasingly logical to assume that price action will first drop back to $0.12 before investors are interested in buying the dip. With that, the DOGE price action could lose another 15% of its value next week depending on the outcome of the weekend in Ukraine.

The short side has the advantage

Dogecoin bulls managed to propel the price back up after hindering the bears a bit when the candle’s wick broke the 55-day SMA last week. Technically, Dogecoin price action is still besieged by a death cross and the 55-day SMA is the price action cap.

Depending on the sentiment over the weekend and geopolitical headlines, it looks like DOGE will drop another 15% and pull back to $0.12.

At these prices, investors may be interested in Dogecoin again. There could be another rally from there, but brace yourself for the 55-day SMA to trade even lower, further pressuring the bulls and setting a break of $0.1, which is a new one Low reached for 2022.

Weekly DOGE/USD chart. Source: TradingView

Depending on the outcome of Russia-Ukraine talks, sentiment towards Dogecoin could change 180 degrees, which will lead the bulls to break the 55-day SMA again before shedding the critical $0.16 level on the month reach. With enough momentum, the price could reach the February high of $0.18 and stage a rally of around 30% in a single weekend.

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