- Dogecoin is presently buying and selling in a falling wedge, eyeing a breakout above $0.219.
- A detailed above $0.22378 may sign a bullish pattern reversal.
- On-chain exercise is rising, boosting the long-term bullish outlook.
Dogecoin (DOGE) has skilled notable turbulence over the previous week, with the standard meme coin shedding greater than 11% of its worth amid wider market volatility.
Although short-term losses have sparked concern amongst retail merchants, technical analysts, and blockchain exercise counsel that DOGE could also be positioning itself for a a lot bigger transfer.
DOGE price evaluation
Over the previous few days, Dogecoin has slipped from a native excessive of $0.25 to hover round the $0.2161 mark, reflecting a sturdy pullback after a sustained rally earlier this month.
Despite the obvious weak point, this decline has not invalidated the broader bullish construction that analysts have been monitoring over current months.
On the four-hour chart, DOGE is presently buying and selling inside a outlined falling wedge sample, which is broadly considered a bullish formation when confirmed with a breakout.
Highlighting this setup, an analyst on X has famous that Dogecoin’s price has compressed between descending resistance close to $0.219 and help simply above $0.212, forming a tightening vary.
4h $DOGE FW pic.twitter.com/aBCf1y5jaO
— #333kByJuly2025 (@CarpeNoctom) May 17, 2025
The analyst’s chart additionally factors to Ichimoku Cloud metrics that present the price hovering inside the equilibrium zone, suggesting that the present pause could precede a bigger directional transfer.
The high-confluence help zone between $0.212 and $0.214, bolstered by the Ichimoku Span B, has already prompted intraday rebounds, hinting at sturdy purchaser curiosity close to that degree.
Meanwhile, resistance at the higher wedge boundary coincides with the Kijun-sen (baseline) round $0.225, creating a well-defined ceiling that must be breached for bullish momentum to renew.
Dogecoin price outlook
If Dogecoin manages a decisive four-hour candle shut above $0.219, Ali Martinez believes that the coin may rapidly goal the earlier provide zone between $0.24 and $0.26.
This is a main space of resistance for #Dogecoin $DOGE. A breakout right here may spark a new bull run!
Don’t watch for the breakout; as a substitute, put together for it! Go to @coinexcom, enroll utilizing my referral hyperlink https://t.co/73n8mW9Y5p, and be a part of me in this commerce. pic.twitter.com/yh52WFBHQt
— Ali (@ali_charts) May 15, 2025
However, a breakdown beneath the $0.205 help degree would probably open the door to steeper declines, probably revisiting the April pivot low close to $0.185.
From a medium-term perspective, Dogecoin’s weekly chart paints a extra optimistic image, particularly as the token not too long ago closed above the Bull Market Support Band.
This band, outlined by the 20-week easy shifting common and a two-sigma envelope, has acted as a main barrier since early February, with current price motion flipping it into provisional help.
Analyst Cantonese Cat has emphasised the significance of this breakout, arguing that a second consecutive weekly shut above $0.22378 would affirm a broader pattern reversal.
Despite the pullback from $0.25, the midline of the Bollinger Bands, which overlaps with the Bull Market Support Band, stays the major pivot level for sustained bullish follow-through.
Adding additional weight to this outlook, long-term chart patterns counsel Dogecoin has already accomplished a breakout above a multi-year descending resistance in late 2023.
According to analyst Javon Marks, this structural change, marked by larger highs and better lows, confirms a bullish reversal from the prolonged bear market that started after its 2021 peak.
$DOGE and a +174% climb to its first goal at $0.6533 continues to be in the playing cards 🃏… https://t.co/7Jt82s0jLy
— JAVON⚡️MARKS (@JavonTM1) May 18, 2025
Marks additionally identified that the current correction discovered help at $0.16, establishing a larger low that strengthens the case for a continued uptrend.
Based on these developments, Marks has maintained a projected price goal of $0.6533, representing a potential 174% enhance from present ranges.
He additionally famous that Dogecoin may finally revisit its earlier all-time excessive of $0.74 and even lengthen positive factors towards $1.25 if momentum builds and market sentiment improves.
Still, one other layer of resistance stays between $0.25 and $0.26, a zone that has constantly capped Dogecoin’s price since December 2024, in line with analyst Ali Martinez.
Repeated failures to interrupt by means of this degree earlier in the yr underscore the significance of a confirmed transfer above it for any sustained upward transfer to take maintain.
While the technical image stays combined in the brief time period, Dogecoin’s on-chain information provides one other bullish sign to the general outlook.
Blockchain analytics platform IntoTheBlock reported a surge in consumer engagement, with new addresses leaping by over 102% and lively addresses climbing by greater than 111% in only one week.
Additionally, zero-balance addresses, typically related to elevated turnover and new exercise, rose by greater than 155%, reflecting renewed curiosity from each merchants and informal customers.
This resurgence in community exercise coincides with a broader market rally and means that Dogecoin’s current price drop could not replicate weakening fundamentals.
Should the price break above the $0.219 and $0.26 resistance zones, it could properly set off the subsequent main rally towards the $0.65 goal outlined by bullish analysts.
But till then, each merchants and long-term holders will likely be watching key help and resistance ranges intently, ready for the sign that confirms Dogecoin’s subsequent main transfer.
