The recent price volatility of Dogecoin has attracted the attention of the cryptocurrency community. Based on CoinDesk Research's technical analysis, Dogecoin has dropped 18% since the local peak in early May, currently trading below the resistance level of $0.26. Current analyses suggest that the price is in a critical consolidation phase.

Consolidation Signals in Technical Indicators

Price analysis shows that Dogecoin has recently experienced strong upward momentum, moving from $0.222 to $0.228, and then progressing within an upward channel. Within this range, the price has found significant support around $0.218-$0.219.

Analysts have identified the resistance zone at the level of $0.233-$0.234, where profit-taking activities have been observed with high trading volumes. The recent sudden pullback indicates that the current momentum has not completely faded; instead, it may be a seasonal consolidation phase.

Whale Activity and Potential Upsurge

Significant whale activity also affects price volatility. In recent days, 170 million Dogecoin, worth over $40 million, has changed hands. Experts believe such transactions could trigger a new breakout in the market.

Technical analysis emphasizes the formation of a bullish flag on the Dogecoin chart, which could drive the price up. Experts point out that recent selling pressure may represent a healthy correction and a technical pause before a new bullish surge.

Market Expectations and Analyst Opinions

Analyst predictions suggest that Dogecoin could experience a new bullish surge in the next seven days. If this occurs, moves towards the range of $0.35 to $0.45 are possible, implying potential gains of 52% to 114% from the current level.

Dogecoin has shown significant volatility in the most recent fluctuations. The rapid drop from $0.233 to $0.227 represents a loss of 2.57%. During this time, a few support searches and short-term sideways movements between $0.227 and $0.228 have been observed.

Some experts emphasize the importance of maintaining this support for short-term price stability, noting that the absence of lower lows will sustain overall optimism.

The CoinDesk Research technical analysis team explains, 'The current consolidation of Dogecoin should not be viewed as entirely negative. If support levels remain strong, a new bullish attempt can be expected soon.'

Although short-term price volatility raises concerns for some investors, technical patterns present significant signals to watch, and bullish potential remains. Large volume transactions require caution, and fluctuations may present new opportunities.

Analysts note that breaking through key resistance levels in the short term could reinforce the positive trend, encouraging investors to closely monitor support and resistance levels to better assess risks and potential opportunities.