In the past 24 hours, Dogecoin (DOGE) price has risen nearly 3%, with trading volume surging by 57%, indicating a significant increase in market activity. Analysts point out that multiple bullish signals are converging, and Dogecoin may experience a strong rally in the coming days. Below is a technical analysis of Dogecoin's bullish potential and price targets.
Trader KJThaLibra shared a bullish forecast for Dogecoin based on the following four technical analyses:
RSI Bullish Divergence: The daily chart shows that although the price has made lower lows, the Relative Strength Index (RSI) has formed higher lows, suggesting a weakening of downward momentum.
RSI Oversold Rebound: The RSI has recently entered the oversold zone and is currently moving away from this extreme bearish area, indicating increased buying pressure.
Trendline Resistance Test: Dogecoin's price is about to touch the trendline resistance for the fourth time, with an increased probability of a breakout.
New Price High: Recent price movements have reached a new high, marking a potential end to the downtrend and entering a possible reversal phase.
Based on the above signals, the mid-term price target for Dogecoin is predicted to be $0.40.
Short-term Price Trends and Targets
From the daily chart, Dogecoin rebounded after touching the key support level of $0.168 five days ago, recording gains on three out of the last five days. The current price has broken above the $0.185 resistance level and may turn this level into support. In the short term, Dogecoin is expected to rise further to $0.21, followed by a push towards $0.26. If the bullish momentum continues, a mid-term target of $0.40 is possible.
Technical indicators support the bullish outlook, validating the forecast:
The RSI has broken above the 14-day moving average, indicating strengthening buying power. The MACD line is close to breaking the signal line, forming a potential buy signal. The 9-day and 21-day Exponential Moving Averages (EMA) may form a golden cross, confirming a short-term upward trend.
Against the backdrop of a recovery in the overall cryptocurrency market, Dogecoin is expected to create higher highs and may continue its upward trend in the short term. Short-term target is $0.26, mid-term target is $0.40, showing strong bullish potential.
