Dogecoin Trading Below $0.20 Marks Key Technical Level for Analysts

Dogecoin is approaching a critical technical level not seen since the lead-up to its 2020–21 rally, as noted by analyst Kaleo. His chart indicates two multi-year falling wedge patterns in DOGE-USD.

Technical Analysis of Dogecoin

The first wedge resulted in a breakout in late 2020, leading to a price surge from approximately $0.003 to nearly $0.75 by May 2021.
The current wedge displays similar downward resistance, with lower highs recorded at $0.16 in late 2022 and $0.11 in late 2023.
Recent price movements saw DOGE reach $0.22 in April and $0.48 in December 2024.
As of Friday, DOGE closed at $0.1604, just below the $0.20 psychological level.
Kaleo projects potential price movement from $0.16 to approximately $0.55, followed by consolidation and a target near $3.50, despite this target being unprecedented historically.
The analysis connects Dogecoin's macro reversals with Bitcoin's halving events, suggesting that a breakout could echo the previous cycle post-halving.
A weekly close below $0.10 to $0.09 would invalidate the bullish fractal pattern.
The risk-to-reward profile remains favorable if DOGE stays below $0.20.

At press time, DOGE traded at $0.161.