DOGE Gains Momentum as Bitcoin Recovers
Dogecoin (DOGE), the most well-known meme coin in the crypto market, has shown signs of a bullish reversal, gaining over 2% in the past 24 hours. This price action comes after the formation of a classic double bottom pattern, hinting at a potential trend change—provided key resistance levels are broken.
At the time of writing, DOGE trades around $0.161, recovering from Monday’s low of $0.1567 and aligning with a broader market bounce, led by Bitcoin’s rebound from $105,200 to $107,000.
What Is a Double Bottom and Why It Matters for DOGE
A double bottom is a technical chart pattern often interpreted as a bullish reversal signal. It consists of two distinct lows at a similar price level, separated by a moderate rally. In DOGE’s case, the pattern formed in the $0.157–$0.158 zone, with above-average volume, particularly during the 13:00–14:00 hour on July 1.
This pattern becomes confirmed when price breaks above the interim peak formed between the two lows. DOGE has now surpassed that level and is trading within an ascending channel, with intraday momentum signaling increased buyer interest.
Key Technical Highlights
- DOGE gained 2.75% from early Asian trading hours, rising from $0.1567 to $0.1611.
- Notable volume spikes at 06:06 and 06:07 UTC (4.4M and 6.0M) confirmed institutional or large buyer support.
- A minor pullback to $0.1606 was observed before DOGE closed the session at $0.1611, maintaining its uptrend.
- Hourly chart shows a well-formed ascending channel, reflecting consistent demand at higher lows.
However, despite short-term gains, DOGE remains within a larger downtrend, characterized by lower highs since mid-May.
What’s Next for Dogecoin?
For a full trend reversal to take shape, DOGE must break above the $0.17 level — the most recent lower high established over the weekend. This would invalidate the bearish setup and potentially spark a larger rally.
Until then, analysts remain cautiously optimistic. As long as Bitcoin continues its upward momentum, DOGE could maintain its bullish short-term bias, especially if it sustains price action above $0.160 with continued volume support.
Investor Takeaway
The recent double bottom formation in Dogecoin suggests a possible end to the recent correction. However, for bulls to regain full control, a decisive move above $0.17 is essential.
DOGE’s bounce is technically encouraging—but not yet a breakout.
Keep an eye on broader market conditions, especially Bitcoin and Ethereum, which often influence meme coin movements. If the crypto rally gains steam, DOGE may be well-positioned to follow.
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.