Dogecoin Maintains long-term support levels at $0.22-$0.24 amid price stability close to vital benchmark.
Dogecoin (DOGE) has found a stable footing within a long-term ascending channel that has been its price range since 2015. This historical trend, marked by key price floors and resistance levels, is currently defined by a lower boundary around $0.15 to $0.22 and an upper boundary around $0.40 to $0.50.
The lower boundary, now around the $0.2374 current trading price of DOGE, has served as a strong accumulation zone in the past, fueling major rallies such as the 2021 surge to an all-time high of approximately $0.7376.
Technical indicators suggest a bullish outlook for DOGE. Trading volume has surged by 77%, and open interest in DOGE futures increased by 21% year-over-year, signalling strong derivative market participation. The coin’s volatility has decreased, with a 30-day average volatility around 2.8%, indicating more stable price action compared to previous years.
The correlation with Bitcoin price has lessened to 0.65, showing greater price independence. Analysts predict a mid-channel resistance target around $0.73 and a potential bullish breakout toward $1.50 if upward momentum persists. In the short term, resistance is currently near $0.26, with a break above likely unlocking gains toward $0.31 to $0.36 in coming weeks.
However, the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are showing no clear direction, indicating a tight trading range for DOGE between $0.2236 and $0.2382. The market cap balance suggests indecisiveness among participants.
Traders are waiting for further confirmation before making significant moves. The current trading range is tight, as indicated by the RSI moving average at 56.23, favouring sideways movement. The MACD line is at 101.15M, with the signal line being higher at 131.63M, reflecting low momentum.
In summary, Dogecoin remains within its well-established ascending channel, currently near its lower support band, with strong technical and on-chain indicators pointing to a likely bullish rally continuation. The convergence of whale accumulation, reduced volatility, and lower BTC correlation underscores the potential for significant upside moves within this historic channel framework in the medium term.
Cryptocurrency investors might find it intriguing that DOGE's lower boundary, currently at its trading price, has previously been a strong accumulation zone, enabling major rallies like the one in 2021. With a bullish outlook due to increased trading volume and open interest in futures, analysts predict a potential bullish breakout towards $1.50 if upward momentum persists. However, technical indicators like the RSI and MACD suggest a tight trading range, favoring sideways movement in the short term.
