After several months of adjustment, Dogecoin is welcoming a new round of upward opportunities. From the daily candlestick chart, this popular meme cryptocurrency is releasing trend reversal signals, showing that its market momentum is shifting from downward to upward.
The analyst marks the daily trend reversal on the Dogecoin chart.
A well-known cryptocurrency analyst named Trader Tardigrade emphasized that the trend reversal of Dogecoin has been confirmed. This week, he pointed out in a post on X (formerly Twitter) that Dogecoin's daily chart has shifted from a downward trend to an upward trend. The technical analysis of Dogecoin's price movement also corroborates this statement.
Shortly after breaking the downward resistance line, Dogecoin's price briefly retraced from April 23 to 24, retesting the previous trend line, but this time it was testing with support. The key point is that this former resistance line demonstrated strong support during the retest, validating the effectiveness of the trend change. After successfully retesting the support, Dogecoin quickly regained upward momentum, starting a new upward trend.
This 'breakout - pullback - continuation' structure is a typical trend reversal confirmation pattern in technical analysis. The stabilization after the pullback further enhances the bullish signal, indicating that this reversal has a high level of reliability, rather than being a brief false breakout.
Bullish target: Reach $0.25 by early May
As the daily chart turns upward, the market's focus shifts to the upper limit of Dogecoin's upward potential. According to trader Tardigrade's analysis, Dogecoin is expected to continue its upward momentum in the coming days and has the chance to challenge the $0.25 mark in early May. The chart shared by Tardigrade also points out that $0.25 is an important target worth watching in the short term.
If Dogecoin successfully breaks through $0.25, it will become a key milestone, marking its exit from a more than 10-week downward cycle and setting a new high since the end of February. At the same time, this also means that since breaking above $0.165, Dogecoin has accumulated a rise of nearly 51%, achieving a strong rebound from the previous low range of $0.14 to $0.15.
However, $0.25 is just a short-term target. According to another analysis by trader Tardigrade, Dogecoin is forming a typical rounded bottom pattern on the long-term chart - this pattern has previously indicated explosive upward movements in past cycles. Currently, the monthly level rounded bottom outline is reappearing, suggesting that Dogecoin may welcome a new round of significant gains in the future, with the long-term potential target price adjusted to $2.8.
At the time of writing this article, Dogecoin's trading price is $0.18.
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