Key Insights :
- Dogecoin price is consolidating below key resistance at $0.26, with a breakout target set at $0.40.
- A bullish wedge breakout and rising RSI suggest DOGE could test Fibonacci levels at $0.30 and $0.42.
- Analysts expect repeated resistance tests before DOGE potentially surges toward the $1 psychological mark.
Dogecoin price is consolidating below key resistance at $0.26, with traders watching for a breakout. The RSI is climbing, signaling increased bullish momentum. A wedge breakout suggests the pair could rise toward $0.40 and $0.42.
Dogecoin Price Consolidates Below Resistance
DOGE price has been consolidating under a resistance area ranging from $0.22 to $0.26. Trader Tardigrade’s analysis suggests that the consolidation marks the end of the initial phase of a potential upward trend. This could indicate the beginning of a stronger bullish movement ahead.
Consequently, the pattern suggested that the token may test the resistance several times before any confirmed breakout occurs. This is common in accumulation zones as the price keeps moving below resistance and volume builds up.
In addition, Trader Tardigrade’s chart indicated that Dogecoin price made successively higher lows in this pattern, pointing to growing demand.
The price consolidation has begun to form below the strong resistance zone from the past. If the trend continues and it trades above $0.26, the breakout may be confirmed, taking it to $0.4
Dogecoin Wedge Breakout and Fibonacci Levels
Another chart analysis, provided by Maximalist, showed that the DOGE price has confirmed a breakout from a falling wedge pattern.
A falling wedge signals a bullish reversal, where downward momentum weakens. Buyers then take control, driving prices higher.
After the upward movement, Dogecoin price retraced and is now looking for support between $0.22 and $0.23. This coincides with the 0.5 Fibonacci retracement level drawn between a previous low and high, showing strong support.
The top meme coin is hovering near the 0.382 and 0.5 Fibonacci levels. Its closest technical resistance is $0.2630, aligned with the 0.618 level. The next major target is the 0.786 level, which sits at $0.4188.
Additionally, if DOGE price sustains its momentum above $0.26, it could rise to $0.30. After that, it may aim for $0.42, similar to its highest prices before 2025.
If the current trend continues and market support remains strong, Dogecoin has potential for growth. Bitcoin’s upward movement could help Dogecoin retest the $1.00 level.
Market Sentiment and RSI Trends
On the daily chart, the RSI is at 69, just below the usual overbought territory. This level suggests strong buying interest but does not yet reflect overextension.
Furthermore, the uptrend of the RSI since early May matched with bullish market structures. A break above 70 could signal the start of a more aggressive move upward if accompanied by higher trading volumes.
Maximalist believes RSI fluctuations and repeated resistance tests could significantly raise prices. If RSI surpasses 70 with growing volume, the chances of a rally increase. This could push the price beyond $0.30.
Crypto General observed that Dogecoin price has surged above a key descending trendline, indicating a bullish breakout. The analyst predicts a brief pullback before a rally toward the $0.30 mark.
The chart showed a breakout with potential for continuation if the top meme coin holds above $0.23. More so, Dogecoin price prediction aligned with a sharp upside move, contingent on confirmation from the trendline retest. Entry points are positioned near $0.23, with the target zone marked at $0.30222.