• Dogecoin’s $0.16 support is crucial — hold above could signal a rally, drop risks deeper losses.
• If DOGE breaks $0.16, it may drop to $0.06, but a rebound could spark a rally.

Dogecoin [DOGE] is back in the spotlight, but not for the reasons its fans might hope.

After a sharp 16% drop this week, the beloved memecoin is teetering on a critical support level. As talks of a potential rally circulate, skeptics are quick to remind everyone of DOGE’s unpredictable nature.

Is this just another dip before a moonshot, or a sign of a greater dip to come?

Dogecoin: Key levels

Dogecoin’s $0.16 support level has emerged as a critical point in its price trajectory, both technically and historically.

This level has previously acted as a robust floor during past corrections, providing the foundation for multiple recovery rallies.

Holding above $0.16 has often signaled renewed bullish momentum, while breaking below it has typically led to sharp declines.

Crypto analyst Ali Martinez highlights this level as a pivotal “make-or-break” point for DOGE. According to Martinez, if the $0.16 support holds, Dogecoin could stage a comeback, eyeing a potential rally to $0.57.

However, if it fails, a deeper drop toward $0.06 could be on the cards.

The current consolidation around this key level underscores the uncertainty surrounding DOGE’s next move, making it a focal point for traders assessing potential long or short positions.

The make-or-break moment