Is this the breakout Dogecoin holders have been waiting for?
Share
Key Takeaways
Dogecoin’s multi-week rally and pattern breakouts point to sustained bullish momentum.
The Cup-and-handle targets $0.41 and $0.70, while short-term support remains intact.
Broader sentiment remains critical, as a sudden drop in demand could see it revisit $0.17.
Dogecoin (DOGE) appears to be on the cusp of a massive breakout, following a powerful 31.65% surge over the past seven days. At the start of the month, DOGE was trading at $0.16.
However, today, its price has climbed to $0.27, its highest since Valentine’s Day. Despite the upswing, some market watchers may be bracing for a potential correction.
However, CCN’s in-depth analysis suggests otherwise: this isn’t the moment for DOGE to give up its gains. Instead, indicators point to sustained momentum, and the memecoin may be gearing up for even higher levels.
Resistance Breached, Dogecoin Big Rally Begins
On the daily chart, Dogecoin’s price has broken out of a cup-and-handle pattern — a formation widely recognized as a bullish continuation signal.
The pattern began with a rounded “cup,” where the DOGE’s price gradually dipped and recovered to form a “U” shape. As seen below, this was a brief consolidation period followed by a return to previous highs.
Try Our Recommended Crypto Exchanges
Sponsored
Disclosure
We sometimes use affiliate links in our content, when clicking on those we might receive a commission at no extra cost to you. By using this website you agree to our terms and conditions and privacy policy.
After that, the downward-sloping “handle”, which represents a brief pause or pullback, showed up.
Today, Dogecoin’s price has broken above the resistance formed at the cup’s rim. This signals the start of a new bullish phase for the memecoin.
Amid this move, the Money Flow Index (MFI) has risen to 89.12, which indicates rising buying pressure. This could help DOGE break above the resistance at $0.35 if sustained.
Once this happens, the coin’s next target could be a rally toward $0.41 at the 0.786 Fibonacci level. In the higher time frame, the cup and handle pattern could show Dogecoin’s price climb by 165% from its current point.
If validated, this could see DOGE rise to $0.70, positioned at the 1.618 Fibonacci level. However, it is important to note that this might only happen if the broader market conditions remain bullish.
Several crypto analysts echo this bullish outlook. For instance, pseudonymous analyst Rekt Capital pointed out that Dogecoin’s double bottom formation could serve as a launchpad for a major breakout.
He further added that if DOGE’s price successfully clears its current resistance, it could rally toward its 2021 highs.
“So, while DOGE will need to validate its current formation in the interim, over time, it may very well continue to follow in Crypto Total Market Cap’s footsteps, which would entail a breakout to highs not seen since 2021,” The analyst highlighted.
DOGE Price Analysis: No Bears Here
Regarding the short-term outlook, the 4-hour chart shows that Dogecoin’s price has risen above the upper trendline of a descending triangle. As a result, DOGE has been forming higher lows and highs.
Besides that, the green line of the Supertrend is positioned below the current value, which indicates strong support for the memecoin.
Likewise, the Awesome Oscillator (AO) reading is in the positive zone, implying that momentum around DOGE is bullish.
Should this trend remain the same, Dogecoin’s price might break toward $0.36 in the short term.
However, if demand drops, the memecoin might experience a correction. If that happens and selling pressure increases, DOGE’s price might slide toward $0.17.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
