diff --git a/.github/workflows/test.yml b/.github/workflows/test.yml
index 538c9fb..519ddbe 100644
--- a/.github/workflows/test.yml
+++ b/.github/workflows/test.yml
@@ -33,6 +33,7 @@ jobs:
       run: |
         ./test/test_install_version.sh
         ./test/test_install_version_by_prefix.sh
+        ./test/test_dvmrc_file.sh
         ./test/test_alias.sh
         ./test/test_uninstall_version.sh
         ./test/test_ls_remote.sh
diff --git a/dvm.sh b/dvm.sh
index 25a6962..8793ae4 100755
--- a/dvm.sh
+++ b/dvm.sh
@@ -400,34 +400,39 @@ export DVM_VERSION="v0.9.0"
     # Try to read version from .dvmrc file in the current working directory or
     # the user home directory.
     dvm_get_version_from_dvmrc() {
-      if dvm_read_dvmrc_file "$PWD"
+      if dvm_read_dvmrc_file "$PWD" ".dvmrc" || dvm_read_dvmrc_file "$PWD" ".deno-version"
       then
         return 0
       fi
 
-      if [ "$PWD" != "$HOME" ] && dvm_read_dvmrc_file "$HOME"
+      if [ "$PWD" != "$HOME" ]
       then
-        return 0
+        if dvm_read_dvmrc_file "$HOME" ".dvmrc" || dvm_read_dvmrc_file "$HOME" ".deno-version"
+        then
+          return 0
+        fi
       fi
 
       return 1
     }
 
-    # Read .dvmrc file from the specified path, and set it to
+    # Read .dvmrc or .deno-version file from the specified path, and set it to
     # `DVM_TARGET_VERSION` variable if the file is not empty.
     # Parameters:
     # - $1: path directory
+    # - $2: file name
     dvm_read_dvmrc_file() {
       local version
       local file_dir="$1"
-      local file="$file_dir/.dvmrc"
+      local filename="$2"
+      local file="$file_dir/$filename"
 
       if [ -f "$file" ]
       then
-        dvm_debug "reading version from file $file"
+        dvm_debug "$file found"
         version=$(head -n 1 "$file")
       else
-        dvm_debug "no .dvmrc found in $file_dir"
+        dvm_debug "no $filename found in $file_dir"
         return 1
       fi
 
@@ -437,10 +442,9 @@ export DVM_VERSION="v0.9.0"
         DVM_TARGET_VERSION="$version"
         return 0
       else
-        dvm_debug "empty .dvmrc file $file_dir"
+        dvm_debug "empty $filename file $file_dir"
+        return 1
       fi
-
-      return 1
     }
   }
 }
diff --git a/test/test_dvmrc_file.sh b/test/test_dvmrc_file.sh
new file mode 100755
index 0000000..1960806
--- /dev/null
+++ b/test/test_dvmrc_file.sh
@@ -0,0 +1,24 @@
+#!/bin/bash
+
+dvm_test_error() {
+  echo "[ERR]" "$@"
+  exit 1
+}
+
+# shellcheck disable=SC1091
+\. ./dvm.sh || dvm_test_error "failed to install dvm"
+
+echo "v1.45.0" > .dvmrc
+dvm use || dvm_test_error "run 'dvm use' failed"
+dvm ls | grep "\-> v1.45.0" || dvm_test_error "run 'dvm ls' failed"
+rm .dvmrc
+
+echo "v1.40.0" > .deno-version
+dvm use || dvm_test_error "run 'dvm use' failed"
+dvm ls | grep "\-> v1.40.0" || dvm_test_error "run 'dvm ls' failed"
+rm .deno-version
+
+echo "v1.44.4" > "$HOME/.dvmrc"
+dvm use || dvm_test_error "run 'dvm use' failed"
+dvm ls | grep "\-> v1.44.4" || dvm_test_error "run 'dvm ls' failed"
+rm "$HOME/.dvmrc"