Dogecoin price may be preparing for a strong rebound as signs of bearish momentum fade and the potential for a significant rally emerges. Traders are closely monitoring the price action, which suggests that Dogecoin could rise as much as 450% from current levels.
RSI Shows Bullish Divergence on DOGE
Recent technical analysis on Dogecoin price reveals a shift in market sentiment. In the hourly chart, the RSI shows a bullish divergence which suggests that the bearish trend is losing steam. This indicates that the DOGE price might regain some relief in the short-term and may possibly work its way out of the current downtrend.
As per crypto strategist Trader Tardigrade, Dogecoin’s price is finding its bottom, which could lead to a recovery soon. The RSI points toward a shift from bearish pressure to more favorable conditions for buyers.
This seems to imply that the DOGE price trend is towards the upside with potential to even test higher resistance levels in the short term.
Dogecoin Price Market Structure Shifts to Uptrend
According to Trader Tardigrade, Dogecoin’s market structure has transitioned from a downtrend to an uptrend on the daily chart. This shift is characterized by the formation of higher higher highs (HHs) and higher low (HLs), which is commonly used as a pointer of a bullish market. The analyst has identified certain levels that might be crucial for a further continuance of the rally.
The major resistance levels consist of $0.178 and $0.164, which have played a significant role in the DOGE/USD pair’s volatility. Therefore, if the Dogecoin price stays above $0.178, the upward trend should persist with increasing chances of making fresh higher highs.
However, if the DOGE price falls below $0.178 but remains above $0.164 the trend may remain range bound, thus negating an uprising. Thus, if the price falls below $0.164, it will be a continuation of the downtrend, which would take a lot of effort to retest it.
The “Doge Circle” and Potential for a Rally
One approach that can be seen in its price change history is a distinct cycle referred to as the “Doge Circle”. This pattern has been apparent in setting important support levels and major up moves in the past. The lower border of the Doge Circle has played a role of providing support for the currency since 2015, where the price has bounced each time.
In the prior cycles, DOGE retested $0.0001 in 2015 and 0.0012 in 2020 to embark on fresh rallies that reached all-time high prices. The most recent cycle showed DOGE bouncing back by 26% when it reached the lower limit at $0.1432. These historical movement trends hint at the possibility of DOGE preparing for another surge and potentially new all-time highs as have been observed with previous market trends.
#Dogecoin macro chart follows the $Doge Circle pic.twitter.com/Os6scDp1T9
— Trader Tardigrade (@TATrader_Alan) March 27, 2025
Currently, DOGE has exited the oversold zone, and analysts predict that it could rise toward the overbought zone, with a potential price target of $8 to $10. This projection indicates a massive potential upside from the current price, with some estimates suggesting a 4,259% increase.
Resistance Levels and Key Price Targets
A crypto analyst by the username of Moein Haddadian has pointed out the following levels which Dogecoin price needs to break out as he selectively aims to rally higher. Each of them regards $0.25 as a critical level that needs to be surpassed to continue the upward movement for DOGE. If price rises above the $0.25 level and sustains it, the next major barriers are between $0.30 and $0.334.
Haddadian also stresses the need for Dogecoin to remain stably above $0.16. This means that any further closing above this level will mean that the bullish prognosis is still valid.
If DOGE price fails to consolidate and defend this level, and falls remains below $0.16, the whole bullish outlook would be deemed invalid. In that case, DOGE can revisit the levels around $0.122 or $0.113.
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