Dogecoin Teases Bullish Breakout: Chart Signals Point to Potential Rally Ahead

Forget Wall Street’s crystal balls—Dogecoin’s price action might be scripting its own comeback story. A key technical pattern suggests the meme coin is gearing up for a trend reversal, and traders are watching closely.

The setup? A textbook chart formation that historically precedes upward momentum. No guarantees in crypto-land, of course—where ’fundamentals’ often take a backseat to Elon Musk’s tweets—but the signals are flashing green.

If the pattern holds, DOGE could be primed to shake off its recent slump. Just remember: in a market where ’utility’ sometimes means surviving another hype cycle, even the strongest charts can crumble faster than a leveraged trader’s margin account.

Chart Pattern Flashes Bullish Signal For Dogecoin

Dogecoin has briefly recovered from a bearish weekend, reflecting its resilience during the waning market performance. After delving into recent price actions, Trader Tardigrade, a crypto analyst on the X platform, has outlined the potential for a continued bullish movement as DOGE shifts toward an uptrend.

In his analysis, Trader Tardigrade contends that Doge might be gearing up for its next upside move, supported by the formation of a key technical pattern. This chart pattern, which signals a trend reversal, comes after a phase of sideways consolidation and declining momentum.

Specifically, this chart formation is the Double Doji Candlestick pattern, a key indicator of a trend continuation or a possible reversal. It often unfolds when two Doji candles follow each other or when the opening and closing of a candlestick are equal.

According to the technical expert, the double doji candlestick pattern has emerged on the 1-day chart, which suggests significant indecision in market sentiment. Since the emergence of a double dojo usually precedes price spikes, the meme coin is likely to witness a breakout and a shift toward an upward trend.

Trader Tardigrade’s forecast is further backed by past scenarios where Dogecoin underwent a notable rise following a double doji candlestick, particularly in 2023. When this pattern occurred in 2023, it triggered a price surge from the $0.28 level to the $0.34 threshold.

With the setup unfolding again, the expert anticipates a similar price action, pushing DOGE from the current levels to $0.27 in the upcoming days. DOGE’s MOVE back to this level alongside a strong bullish market sentiment may lead to a new phase of upward action.

A Major Rally Toward A New All-time High

Looking at DOGE’s price performance in a larger time frame, the expert has predicted a potential significant surge to a new all-time high by Q3 of this year. Trader Tardigrade points to a consolidation above a descending resistance trend line in the 1-week chart, laying the groundwork for a huge rally as seen in the last pre-pump structure.

The last time the meme coin consolidated above a descending resistance trend line in 2024, the development led to a notable upswing from $0.108 to $0.48. Given the past result and the potential of a similar price action taking place, Trader Tardigrade is confident that dogecoin might experience an explosive move to the $0.8 mark and beyond.