The biggest memecoin, Dogecoin (DOGE), has plunged dramatically in a week, dropping by over 9%, pushing its value from $0.18 to $0.17. The drop in the memecoin has sparked a discussion in the community.
While the leading cryptocurrencies like Bitcoin also took a hit this week, declining significantly from their peaks, the drop in Dogecoin was mainly influenced by the price momentum in the biggest cryptocurrency due to its correlation.
However, some crypto analysts are still bullish about the memecoin as they are expecting a breakout by highlighting recent developments in the Dogecoin community, such as buzz around the Dogecoin ETF launch.
The SEC has postponed its ruling on Grayscale’s spot Dogecoin ETF, filed in March, along with other altcoin ETFs. The next review is set for June 2025, with Polymarket odds at just approval but 63% for 2025.
Is Dogecoin (DOGE) Heading Towards a Major Breakout?
The prominent crypto analyst, Ali Martinez, recently posted a Dogecoin on X (formerly Twitter) showing the price moving within a symmetrical triangle pattern. According to Ali, DOGE is currently testing the lower boundary of this formation.
(Source: Ali on X)
Martinez highlighted $0.16 to $0.22 as the crucial range. A confirmed breakout above resistance or breakdown below support on a daily closing basis will likely determine DOGE’s next price movement.
According to another crypto analyst, Dogecoin (DOGE) is testing a make-or-break level at $0.168, which is a support zone that has held since April. If it breaks lower, the analyst warned that it could lead to a possible freefall with little buying interest to stop the drop.
On the other hand, if it holds this level, DOGE could show a rebound.
Javon Marks, a crypto analyst, believes that DOGE is showing strong bullish signals as it maintains higher lows. This shows that the current breakout pattern could help the memecoin surge to $0.65, which 260% gain from the current value.
Javon Marks also mentioned that “With the post-breakout chop, these prices may break above this target, bringing in play $1.25. The $1.25 level is currently over 600% away.”
Interestingly, a 4-year cup-and-handle pattern reflects a possible long-term target of $0.75, which is a 350% surge, if DOGE breaks out. However, short-term momentum looks weak, with indicators like MACD hinting at intense selling pressure.
All in all, while some experts expect a climb to $0.20 by mid-July, others believe that the failure at $0.168 could trigger a sharp decline in its price. Some traders are calling this “the line of life and death” closely.
Also Read: Here’s Why Solana Faces a Potential 20% Price Breakdown
