The price of Dogecoin (DOGE) has recorded growth over the past seven days, increasing by 6.24%. This has supported the memecoin in regaining the $0.180 level during this period. However, recent prices indicate that a major change may be imminent. The price of Dogecoin has reached the upper Bollinger Band and may see a reversal in the short term.

Dogecoin Price Faces Short-Term Risks on the Bollinger Band

According to market data, DOGE has not found support at the $0.180 level and is currently on a downward trend.

However, the market remains bullish as participants view this pullback as a move to consolidate DOGE's price.

Positive outlook from investors may stem from recent activities within the ecosystem. Notably, DOGE whales remain active despite price fluctuations.

Whale transactions have recently seen a spike of over 500% as these large holders seem to have started accumulating.

Investors are betting on the continuous upward trend of dog-themed memecoin prices.

However, technical indicators show that Dogecoin's price is at the upper range of the Bollinger Bands. This suggests that prices may reverse unless the upward trend is consolidated.

Such developments could signal significant losses for investors continuing to accumulate this coin despite price volatility and continuous bearish signals.

Dogecoin Price History Indicates Upcoming Recovery

Interestingly, the cryptocurrency market is very dynamic and experienced traders do not act solely based on one factor.

While the Bollinger Bands indicate that prices will decrease, historical data suggests that prices may increase again.

According to Cryptorank data, DOGE is maintaining a growth rate of 6.93% in April.

Although this figure is lower than the average of 63.1%, based on the record, Dogecoin may be preparing for a breakout.

It may achieve an average growth of 23%, and if history repeats itself, DOGE could reach new highs.

Historical data shows that DOGE continues to shine even when the cryptocurrency market as a whole experiences instability and price declines.

For example, in 2015, 2017, and 2019, DOGE recorded average growth rates of 48.5%, 256.1%, and 35.5% respectively. Last year, the price of Dogecoin increased by an average of 19.1%.

This data supports a bullish sentiment in the Dogecoin ecosystem and may help prevent a major sell-off.

Investors may hold on to their assets in anticipation of a price surge next month to realize profits.

This could explain the recent increase observed in whale transactions. These large investors see prices consolidating as the memecoin prepares for a breakout in May.

Price Outlook for Dogecoin

As of the time of writing, the price of DOGE has increased by 0.69% to $0.1792 in the past 24 hours. The coin previously reached a high of $0.1805 before experiencing a pullback.

Similarly, trading volume has decreased by 14.75% to $1.04 billion.

However, technical indicators suggest short-term volatility as the RSI indicates that the asset is neither overbought nor oversold.

DOGE's upward journey will need to break through resistance at $0.182 and $0.1972 if it wants to witness a major price surge.

If Dogecoin's price follows its historical trend in May, it could soar to test the $0.20 level. With community involvement, the memecoin could progress toward $0.30 in a bullish context.