Fibonacci levels mark $1.0771 as Dogecoin’s long-term target if bullish momentum holds steady.
Wedge and rounded bottom patterns suggest Dogecoin is in a phase primed for possible breakout.
High RSI and MACD readings indicate strong bullish interest, though a short-term pullback may occur if overbought conditions persist.
According to analyst MikybullCrypto, Dogecoin (DOGE) is in the midst of a rally that could eventually reach $1. This price movement is supported by long-term trends and specific price levels identified through Fibonacci extension analysis. The current upward momentum follows years of volatile price history, showing both potential support and resistance levels critical to this forecast.
Historical Price Levels and Fibonacci Extensions
Since 2014, Dogecoin’s price has fluctuated across various support and resistance points. Fibonacci extension levels highlight three pivotal areas: $0.0034, $0.0262, and the projected $1.0771 level. The $0.0034 level was an early support point, while $0.0262 was met as Dogecoin gained initial popularity.
Source: MikybullCrypto
Notably, the $1.0771 is a long-term target, should bullish pressure continue building. These Fibonacci levels hint at potential price targets while suggesting areas where DOGE could encounter resistance in the future.
Wedge Patterns and Rounded Bottoms
Throughout DOGE’s price history, wedge patterns, identified by dashed lines around price movements, appear frequently. These formations generally indicate consolidation phases that often lead to breakouts. In this case, previous wedges have led to bullish breakouts, emphasizing the possibility of similar future movements.
More recently, a rounded bottom formation suggests Dogecoin may be in an accumulation phase, which could support a sustained upward trend if market interest strengthens. This pattern’s emergence indicates a stable base, which could enable a further rally if buying pressure continues.
Key Indicators Signal Bullish Momentum
At press time, Dogecoin was trading at $0.3944, reflecting strong buying interest. Recent volume spikes have accompanied this price rise, an encouraging sign of authentic momentum in the rally.
Source: TradingView
However, the Relative Strength Index (RSI) has reached a high of 90.50, signaling an overbought state. High RSI values often imply a potential pullback, as traders may choose to take profits.
In addition, the Moving Average Convergence Divergence (MACD) shows a positive trend, with the MACD line positioned above the signal line, indicating strong bullish momentum. This bullish signal, along with an expanding MACD histogram, reflects increased buying pressure. However, a shift in the MACD could signal a reversal, particularly if profit-taking accelerates.
Possible Resistance and Support Levels
With Dogecoin reaching recent highs around $0.4162, this level now serves as an immediate resistance point. Breaking past this level with consistent volume could solidify a bullish trend toward new highs.
On the downside, support may form near $0.30, a level where Dogecoin previously stabilized. In the medium term, Dogecoin could see a cooling-off period if the RSI declines gradually, allowing indicators to reset.
