Dogecoin Holds Steady Above $0.22 with Potential Breakout Ahead

Dogecoin is currently priced above $0.22, with a recent peak of $0.25 on May 23. It has gained 4.1% in the last 24 hours and 5% over the past week.

The Triangle Pattern

Analyst Akbar Karimzsfeh notes that Dogecoin has been forming a tightening triangle since its all-time high of $0.73536 on May 3, 2021. Attempts to break lower on three occasions this year have failed, indicating potential volatility as the triangle narrows.

Key Resistance Levels

  • The upper trendline corresponds with a significant “cup” pattern around $0.4916.
  • A previous breakout attempt occurred in December 2024 but was unsuccessful.
  • Dogecoin needs to surpass $0.4916 for bullish momentum to strengthen.

Recent Price Moves

Between May 20 and May 26, Dogecoin fluctuated around $0.22, reaching $0.25 before declining. A close above $0.50 could signal the end of the current consolidation phase.

On-Chain Metrics Rise

  • New addresses increased by 102.40% in the past week.
  • Active addresses rose by 111.32%.
  • Addresses with zero balance grew by 155.45%.

This increase indicates heightened network activity, though it does not confirm long-term holding intentions.

If Dogecoin breaks above the top trendline and maintains a position above $0.49, a target of $3.08 may be projected based on the triangle’s height. However, caution is advised; a drop below $0.05 would indicate bearish conditions. Current trading dynamics remain critical as Dogecoin is positioned between two important trendlines.