Dogecoin has declined this week after a strong surge in recent weeks. The price has dropped from $0.25 to around $0.21. Traders observed a brief recovery above $0.23 around May 17-18, but that did not last.

As of today, DOGE is at nearly $0.21, marking a 10% decline over the week. Investors are watching the bigger picture, hoping long-term signals indicate a new uptrend.

Analyst Maintains Bullish Outlook

According to analyst Javon Marks, a major trendline was broken at the end of 2023. This line has confined Dogecoin since the $0.70 peak. He noted that the break has opened the door to higher highs and higher lows.

A new low near $0.15 has been held so far. Based on this outlook, he has maintained his $0.65 target, which implies a 200% increase from $0.21. Marks also mentioned $0.74 and $1.25 as achievable milestones in the future.

Resistance Levels Remain Important Barriers

According to market analyst Ali Martinez, the $0.25-$0.26 range is a significant barrier. That area acted as support in December 2024 but turned into resistance in early 2025.

Since then, the meme coin has tried and failed to surpass this level. In February, it reached $0.28 before reversing below $0.15. A price surge in March saw a move above $0.19 but it stopped there.

The most recent test in May peaked at $0.24 before closing at $0.22. Traders will look for a clear close above $0.26 to signal new momentum.

On-Chain Activity Surge

Based on the latest data, wallet activity has surged. New addresses increased by over 100% in the past week. Active addresses rose by 110%.

Even addresses with zero balance increased by 155%, which often indicates new participation or address cleanup. Higher on-chain numbers do not always mean price increases, but they suggest more users are recording transactions.

Long-Term Target Faces Major Barriers

Dogecoin's long-term target seems intriguing, but achieving that goal will not be simple. To move to $0.6533 or higher, it first needs to hold above $0.26. Then it must break above $0.28 with actual volume behind it.

Significant price volatility may scare some holders and lead to profit-taking. Even if the chart lines align, external events like social media rumors or exchange listings may be necessary to push DOGE past $0.30.

In the short term, traders will watch whether DOGE can reclaim $0.25 and hold it for a few days. If that happens, the higher low pattern remains intact. If it drops below $0.21, the setup could collapse and open the door for further losses.

Currently, the coin is in a tug-of-war between bullish chart supporters and those who believe prices will drop further.