DOGE Soars 44% Over the Weekend — What’s Next for Dogecoin Price

Key Takeaways

• DOGE reached a new yearly high of $0.30 today.
• Signs of potential weakness indicate a consolidation phase ahead.
• Breakout direction will determine if the uptrend continues or reverses.

DOGE has recently shown strong price action, reaching a new yearly high of $0.30 following a bullish surge that began in late October.

Despite the positive momentum, the daily Relative Strength Index (RSI) signals overbought conditions, prompting questions about how much more upside potential remains.

DOGE Price Analysis 

On March 28, DOGE’s price hit its yearly high of $0.22, completing a five-wave structure that began in October 2023. This peak was followed by a corrective phase, with DOGE forming a descending triangle and retracing to $0.090, where it found crucial horizontal support.

After bouncing from this level, DOGE faced descending resistance on Sept. 14, resulting in a temporary pullback.

Despite this, market sentiment stayed positive as DOGE created a higher low during its retracement. A new upward movement started on Sept.16, breaking above the descending resistance and reaching $0.13 by Sept. 28.

However, this rally was short-lived, with a sharp 24% drop erasing earlier gains and raising concerns about the bullish scenario.

The correction appeared to form an ABCDE structure, with the upward move from Sept. 6 initiating a five-wave impulse. An ascending channel formed whose breakout we saw on Oct. 28. After a retest of its resistance for support on Nov. 3, DOGE started a new bullish advancement. 

A new yearly high reached $0.30 today, and the price is still upward after increasing parabolically by over 40% since Friday.

Does it have more room for the upside, as the daily Relative Strength Index signals overbought? 

DOGE Price Prediction

The hourly chart shows that the last uptrend likely started on Oct. 26 after its previous one ended at the ascending channel’s resistance.

A breakout occurred, after which DOGE retested the level on Nov. 3 and resumed its upward trajectory once resistance turned support. 

Since we can count a five-wave pattern to today’s high, the likelihood of this uptrend being concluded is high. Some signs of weakness were seen, but the price is still on a bullish trend overall. 

If these signs of weakness continue, we can anticipate the formation of a consolidation range, either a sideways formation or a descending one. Its breakout direction will provide further insight into the next dominant trend. If DOGE has more room for the upside, an upward breakout could lead to a next target of $0.31. 

However, if the price worsens, we can anticipate a further drop in the $0.23 area and a more sustained depreciation afterward. 

About the Author

Nikola Lazic

Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis. Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information. Expertise: Cryptocurrencies, Technical analysis, Elliott Wave Theory, On-chain metrics, Research reports.

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