Key Support Retest Could Spark Next Dogecoin Rally
Dogecoin (DOGE/USDT) has drawn fresh attention from traders after forming what analysts describe as a classic ‘1-2 pattern’, a setup often seen before major trend reversals. Currently priced near $0.00208, DOGE is consolidating within a crucial support zone, which could act as the foundation for a new bullish wave.
The daily chart shows DOGE testing its long-standing demand area between $0.00195 and $0.00210, a level that has repeatedly halted sharp declines since mid-2024. This region is now seen as a critical pivot point for market participants.
Above, the chart highlights two resistance clusters:
- The first at $0.00300–$0.00320, where multiple rejections have occurred.
- The second, more decisive barrier at $0.00550–$0.00600.
If bulls can maintain support and reclaim these zones, the measured target from the 1-2 formation projects toward $0.028–$0.030, suggesting a potential tenfold upside from current levels.
“This structure resembles the start of an impulsive cycle. The first wave has completed, and DOGE is now in its corrective wave two. If this support holds, wave three could bring a significant breakout,” BITX market analyst explained.
Despite the recent 9% intraday decline, trading volume surged above 215 million DOGE, showing active interest from both buyers and sellers. Historical trends indicate that meme-driven tokens like DOGE often exhibit extreme volatility before sharp directional moves.
“DOGE is sitting on a knife’s edge. A rebound from this zone could ignite another run to multi-month highs, but a breakdown below $0.00195 may delay the bullish thesis,” According to BITX
For now, DOGE remains in a make-or-break phase. The survival of the $0.00200 support could validate the 1-2 pattern and set the stage for a sustained rally. However, if bears overpower buyers at this level, the token risks entering a deeper correction before any larger breakout attempt.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.