Dogecoin (DOGE) Price Prediction & Analysis: Could This Pattern Trigger The Next Rally?
TLDR
DOGE fell 4.97% despite gaining 20.57% over the past month, hitting resistance at a key level that previously triggered pullbacks
Traders bought $16.91 million worth of DOGE recently, moving coins from exchanges to private wallets for long-term holding
A cup and handle pattern suggests potential price target of $0.8630, representing a 285% increase from current levels
Whale accumulation is occurring with large holders increasing positions by billions of coins since January
Four companies have applied for DOGE ETFs with the SEC, which could serve as future price catalysts
Dogecoin price dropped 4.97% recently, trading at $0.2200 despite recording a monthly gain of 20.57%. The decline came as DOGE hit a resistance level that has previously triggered retracements on five occasions.
The meme coin remains the largest in its category with over $32 billion in market capitalization. It currently trades 53% below its November peak and 68% above its November low.
Technical analysis reveals DOGE has formed a cup and handle pattern on the weekly chart. The pattern’s upper boundary sits at $0.4522, matching highs from November 2024 and May 2021.
The cup section shows a rounded bottom with horizontal support. The handle portion represents a pullback from $0.4522 to $0.1295.
Strong Buying Activity Despite Price Drop
Market data shows traders purchased $16.91 million worth of DOGE during the recent decline. Exchange netflow confirms these buyers moved coins from exchanges to private wallets.
This transfer pattern indicates long-term holding intentions rather than short-term trading. Open Interest Weighted Funding Rate increased by 0.0047%, showing futures contracts remain dominated by long positions.
Liquidation data reveals a cluster of $1.4 million in potential liquidations above current price levels. Historical patterns suggest prices often move toward these high liquidation zones.
Whale Accumulation Patterns
Large holders have increased their DOGE positions over recent months. Addresses holding between 100 million and 1 billion coins now control 26.5 billion DOGE, up from 22.8 billion in January.
Similarly, wallets containing 10 million to 100 million coins expanded their holdings to 23.8 billion tokens. This accumulation pattern typically indicates institutional or high-net-worth investor interest.
Technical Price Targets
The cup and handle pattern suggests a potential breakout above $0.4522 could trigger upward movement. Pattern analysis indicates a profit target of $0.8630, calculated by measuring the cup’s 92% depth and projecting that distance upward.
This level remains the most important resistance wall for #Dogecoin $DOGE! pic.twitter.com/5VyujKwCjP
— Ali (@ali_charts) May 25, 2025
This target represents a 285% increase from current price levels. The pattern requires a decisive break above the cup’s rim at $0.4522 to activate.
DOGE previously peaked at $0.7390 in 2021 before declining to $0.048 in June 2022. The current technical setup suggests potential for revisiting or exceeding previous highs.
Four companies including Bitwise, Grayscale, 21Shares, and Rex Shares have submitted applications for DOGE ETFs to the Securities and Exchange Commission.
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Filed under: News - @ May 26, 2025 9:22 am