TLDR

Dogecoin has consolidated below $0.26 resistance after an 18% drop since May 10
Analyst Ali Martinez suggests DOGE might retest the $0.213 support level
Price currently trades around $0.23, above the 200-day EMA at $0.21
On-chain metrics show positive funding rates and dormant token movement
Technical indicators suggest possible 20% gains if support holds

Dogecoin, the popular meme cryptocurrency, has entered a critical phase in its price movement as bulls and bears battle for control.

After experiencing a strong rally from early April that saw a 100% price surge, DOGE has faced rejection at the $0.26 resistance level and dropped over 18% since reaching a local high on May 10.

The price currently hovers around $0.23, maintaining position above the 200-day Exponential Moving Average (EMA) at $0.21, which has served as a key support level in recent days.

Dogecoin
DOGE Price

Analyst Ali Martinez points to a likely retest of the $0.213 level if current support fails to hold. This price zone previously functioned as both resistance and support during the April breakout and could act as a magnet for price action.

#Dogecoin $DOGE may want to revisit $0.213! pic.twitter.com/ruKqcXEqNP

— Ali (@ali_charts) May 20, 2025

The correction comes amid broader market uncertainty that has particularly affected meme coins. Despite this pullback, DOGE has maintained its position above critical support levels.

Technical Picture Shows Mixed Signals

The daily chart reveals DOGE trading between the 200-day EMA ($0.219) and the 200-day Simple Moving Average ($0.269), creating a battleground zone where price has consolidated.

Recent candles have formed tight-bodied structures, indicating market indecision. Trading volume has notably declined since the early May breakout, suggesting a loss of momentum and trader interest.

The Relative Strength Index (RSI) on the daily chart reads 61, staying above its neutral level of 50. This technical indicator points to maintained bullish momentum despite the price correction.

If DOGE loses the $0.219-$0.220 support zone, the next logical support sits near $0.213, aligning with analyst concerns of a potential retest. A breakdown below this area could trigger further downside pressure toward the $0.19 zone.

On-Chain Metrics Paint Bullish Picture

On-chain data suggests a potentially positive outlook for DOGE. According to Coinglass’s OI-Weighted Funding Rate data, the number of traders betting on price increases exceeds those expecting further declines.

The funding rate stands at 0.0094% for DOGE, reflecting a positive rate where longs are paying shorts. This metric often signals bullish sentiment in the market.

Santiment’s Age Consumed index also projects a bullish outlook. Recent spikes in this index suggest dormant tokens are in motion, which historically has preceded price increases for the meme coin.

The latest uptick on Tuesday forecasted potential upward movement, adding weight to the bullish case despite recent price weakness.

If the 200-day EMA support at $0.21 remains strong, DOGE could extend its rally by approximately 20% from current levels to retest the 50% price retracement level at $0.27.

However, a break and close below the 200-day EMA would likely extend the correction toward the next weekly support at $0.18.

The coming days will be decisive for DOGE’s mid-term trend. If bulls reclaim control and push price back toward $0.26 resistance, the meme coin narrative could regain strength. For now, all eyes remain on this pivotal support zone as Dogecoin navigates uncertain market conditions.

The post Dogecoin (DOGE) Price Prediction & Analysis: The Bullish Pattern Forming, What’s Next?? appeared first on CoinCentral.

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Filed under: News - @ May 21, 2025 8:27 am