Dogecoin (DOGE) Teeters on the Edge of a Massive Rally—Or Another Meme Mirage

Dogecoin, the crypto that started as a joke, now flirts with a potential breakout—proving once again that markets will rally behind anything, even a Shiba Inu mascot.

Technical indicators suggest DOGE is coiling for a major move. Traders are watching key resistance levels like hawks—or maybe like dogs chasing cars, given the asset’s history.

Will this finally be Dogecoin’s ’to the moon’ moment? Or just another pump-and-dump wrapped in meme magic? Only time will tell—but for now, the charts hint at fireworks.

Bonus jab: Wall Street still can’t decide if crypto is the future or a Ponzi scheme. Meanwhile, Dogecoin investors just keep hodling.

TLDR

• Dogecoin is forming a bullish Channel Pullback pattern, similar to one that preceded a rise from $0.17 to $0.25
• DOGE realized profits have soared 225.58% to $36.1 million in 24 hours
• Trading volume increased 63.39% to $2.71 billion, showing renewed market interest
• Daily transactions rose 7.93% to $595.9 million with average HODL period at 931 days
• Technical analysis suggests potential targets of $0.265 and $0.275 if breakout occurs

Dogecoin, the popular dog-themed cryptocurrency, is showing signs of a potential rally despite its recent bearish performance. Technical developments indicate that the current pullback may be setting the stage for a meaningful upward movement in DOGE’s price.

At the time of writing, Dogecoin trades at $0.2296 after gaining 2.47% in the last 24 hours. While this modest gain might not seem impressive at first glance, underlying metrics suggest a buildup of momentum that could translate to more substantial price action.

Recent analysis from crypto analyst Trader Tardigrade reveals that DOGE is gearing up for a major rise as a key technical pattern emerges on the daily chart. The meme-inspired cryptocurrency is currently consolidating within a Channel Pullback formation, often associated with trend continuation after cooling off from recent highs.

This channel formation, combined with stable support levels and rising market sentiment, raises the possibility that Doge is preparing for a breakout in the upcoming days.

Looking at the chart, this Channel Pullback pattern previously appeared between late April and early May. Following a breakout from that pattern, dogecoin saw a notable rise from $0.17 to $0.25 in less than a week.

With the structure reappearing, analysts contend that a breakout, which they believe is inevitable, is likely to trigger a similar upward trend.

On-Chain Metrics Show Strong Market Activity

On-chain data paints an increasingly bullish picture for Dogecoin. According to Whale.io data, there has been a massive 225.58% increase in realized profits in the past 24 hours, reaching $36.1 million.

This surge indicates that many traders are making impressive gains with DOGE’s price movements.

There has also been a sharp rise in daily transactions, up 7.93% to $595.9 million, suggesting increased user interest and market activity around the meme-themed crypto asset.

Trading volume has spiked significantly as well, increasing by 63.39% to $2.71 billion over the past 24 hours. This suggests heightened interest from both retail and institutional investors.

The average buy price for DOGE dropped 1.02% in the last 30 days but still stands at $0.159. Even though the drop isn’t huge, it is a sign that new buyers are making their purchases at prices slightly below previous buy levels.

Technical Analysis Points to Multiple Bullish Patterns

Dogecoin’s bullish signals extend beyond the daily chart. Analysis of the 3-day time frame highlights growing momentum, which increases the potential for a rebound.

An Expanding Triangle formation has been identified on the 3-day chart, which is a key reversal pattern after a widening consolidation phase. Given that the market is slowly turning positive, a breakout from this pattern is expected to potentially drive a rally to $0.275 and beyond.

#Dogecoin has formed a Channel pullback again 🔥
A breakout is inevitable 🚀$Doge pic.twitter.com/rAgTqibnif

— Trader Tardigrade (@TATrader_Alan) May 20, 2025

Should the channel breakout mirror the previous scenario, analysts have predicted a surge from current price levels to the $0.265 mark. DOGE’s reclaiming this level in tandem with significant buying pressure might act as a launchpad to a continued rally toward higher targets.

A view of a much larger time frame shows that DOGE’s price could be headed for significant gains before the ongoing market cycle concludes. Technical analysts have underlined the recurrence of a bullish structure that triggered massive moves for the meme coin on the 6-month time frame.

Long-Term Holder Confidence Remains Strong

At about 931, the HODL days metric shows the average period investors have held onto their DOGE. The 1.73% rise in this metric over the last month indicates that holder confidence in Dogecoin remains as strong as ever.

The sharp surge in realized profits suggests that many DOGE holders are in profit at the current price level. These data show that Dogecoin continues to demonstrate profit potential despite still being considered a joke asset by many in the crypto ecosystem.

During the 2017 and 2021 cycles, a macro pattern similar to what’s forming now kick-started DOGE’s final rally all the way to its peak in each cycle. While the structure has reemerged, some analysts foresee a similar spike that could lead to a cycle top for Dogecoin.

The more optimistic price projections suggest the meme coin might reach levels from $6 and above, though such estimates should be viewed with appropriate caution.