Dogecoin Eyes Breakout Above $0.18 and $0.21 as Analyst Predicts Next Bull Run Catalyst
Dogecoin (DOGE) is currently holding steady above the $0.16 mark, remaining mostly unchanged in the past 24 hours. However, despite this relative stability, an analyst has identified two crucial resistance levels that, if broken, could potentially ignite the next significant bull run for the popular meme cryptocurrency. These levels, situated at $0.18 and $0.21, are being closely watched by traders and investors alike.
According to analyst Ali Martinez, DOGE/USD faces significant resistance at $0.18 and $0.21, where approximately 8% and 7% of the total supply was last transacted, respectively. The UTXO Realized Price Distribution (URPD) data shows these price points represent substantial supply walls that could restrict upward momentum.
DOGE Whale Accumulation Signals Growing Optimism
For DOGE holders, whales have acquired approximately 220 million Dogecoin over March, signifying high buying demand from big players. Technical indicators indicate encouraging signals of a possible rally, hence this accumulation pattern becomes relevant.
Analyst Javon Marks has noted a sequence of higher lows developing in DOGE’s price action; this technical pattern has traditionally foreshadowed significant price rises. Targeting a price of $0.6533 in the long run, Marks’ study indicates that if this trend keeps developing, Dogecoin may perhaps climb almost 270%.
Market Indicators Reflect Increasing Bullish Sentiment
Dogecoin currently boasts a market capitalization of $25.44 billion, with trading volume increasing nearly 10% to $1.21 billion, suggesting heightened market interest. Derivative data provides additional support for a bullish outlook:
- Open interest has risen by approximately 4.76% to $1.65 billion, indicating new market participants
- Long-short ratios remain bullish on major platforms, with Binance at 3.25 and OKX at 3.88
- Technical analysis shows a falling wedge breakout pattern
- The four-hour RSI has entered oversold territory, often signaling a price bottom
However, caution remains necessary as recent liquidation data reveals significant volatility. In the past 24 hours, short positions worth $4.42 million and long positions totaling $2.16 million were liquidated, highlighting the market’s current instability.
Overcoming Historical Q1 Underperformance
Though the technical view is positive, Dogecoin has suffered in the first quarter of 2025 with a 46% drop – maybe its worst performance in seven years. This stands in sharp contrast to Q1 2024, when DOGE observed an amazing 147% rise.
Daily performance analyses reveal:
- January 2025: +4%
- February 2025: -38.5%.
- March 2025: -17.5%
Some analysts, including Dima Potts36, saw similarities between the pattern of 2018 when Dogecoin suffered Q1 losses but recovered notably later in the year. Analyzing DOGE’s performance in past market cycles (2017 and 2021), Potts36 projects the bitcoin could follow a similar path in 2025, maybe rising to $11.71 by year-end.
Supply Distribution Presents Challenges
Dogecoin’s supply distribution is a major element maybe slowing down its increasing pace. At the $0.07 level, URPD data shows a noteworthy concentration of DOGE supply—20.38% or more than thirty billion coins. Should these holders want to sell as prices approach their break-even points, this concentration may generate opposition.
With 7.04% of supply (10.45 billion DOGE) recently transacted close to the $0.20 mark, similarly another psychological barrier is represented.
Dogecoin Price Prediction: Overcoming Obstacles Might Reveal Notable Returns
Breaking past the $0.18 and $0.21 resistance levels is absolutely essential for Dogecoin to show a consistent upward trend. Should these levels be successful, they might change from opposition to support, therefore magnifying the present market surge and driving DOGE into higher price goals.
While immediate price targets concentrate on the $0.22-$0.25 region, a successful breakthrough of important resistance levels might set the door for further significant gains, especially if Bitcoin keeps its current pace and more general market attitude stays optimistic.
ABOUT THE AUTHOR
See More
Sidebar rates
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals