Dogecoin eyes rebound as analysts see early bottom, $0.35 target
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Dogecoin appears to be stabilizing after a sharp correction in early May that followed a month of upward movement in April. While sentiment has cooled and fear has crept back into the market, technical analysts are now pointing to signs that the meme-inspired cryptocurrency may have found an early bottom, opening the door to a potential trend reversal in the near term.
Crypto analyst "Astronomer" has drawn comparisons to Dogecoin's October 2024 structure, noting that current fundamentals—particularly within the broader altcoin landscape—mirror those seen before the last major rally, which took DOGE from under $0.1 to a local high around $0.5. According to Astronomer, the recent rejection at $0.18 may represent a classic shakeout phase, and the subsequent price action could mark the beginning of a more substantial recovery.
The analyst suggests that current levels offer an asymmetric risk-reward setup. Given DOGE’s historical tendency to respond strongly to shifts in market sentiment and retail momentum, a long position—whether via spot or structured risk—could be justified for traders anticipating a breakout beyond recent resistance levels.
Reinforcing the bullish view, another crypto analyst has identified a developing reversal pattern supported by a bullish divergence on the RSI. The divergence signals that while price made a lower low, momentum indicators did not confirm the move, often a precursor to trend shifts. The key level to watch is $0.206. A daily close above this threshold would be considered confirmation of bullish intent, potentially attracting further momentum buyers.
Technically, the Dogecoin price must first reclaim resistance at $0.20 to validate the emerging structure. A sustained break above this level could open the path toward $0.27, with $0.33 to $0.35 as the medium-term target range if bullish momentum continues. These levels represent both Fibonacci extensions and historically contested price zones during past rallies.
While the broader altcoin market remains sensitive to Bitcoin dominance and macro developments, Dogecoin’s setup—combined with speculative appeal and improving technical structure—suggests traders may soon shift from fear to opportunistic accumulation. As always, close monitoring of trend confirmations and volume dynamics will be key in validating any potential breakout.
Crypto analyst "Astronomer" has drawn comparisons to Dogecoin's October 2024 structure, noting that current fundamentals—particularly within the broader altcoin landscape—mirror those seen before the last major rally, which took DOGE from under $0.1 to a local high around $0.5. According to Astronomer, the recent rejection at $0.18 may represent a classic shakeout phase, and the subsequent price action could mark the beginning of a more substantial recovery.
The analyst suggests that current levels offer an asymmetric risk-reward setup. Given DOGE’s historical tendency to respond strongly to shifts in market sentiment and retail momentum, a long position—whether via spot or structured risk—could be justified for traders anticipating a breakout beyond recent resistance levels.
Reinforcing the bullish view, another crypto analyst has identified a developing reversal pattern supported by a bullish divergence on the RSI. The divergence signals that while price made a lower low, momentum indicators did not confirm the move, often a precursor to trend shifts. The key level to watch is $0.206. A daily close above this threshold would be considered confirmation of bullish intent, potentially attracting further momentum buyers.
Technically, the Dogecoin price must first reclaim resistance at $0.20 to validate the emerging structure. A sustained break above this level could open the path toward $0.27, with $0.33 to $0.35 as the medium-term target range if bullish momentum continues. These levels represent both Fibonacci extensions and historically contested price zones during past rallies.
While the broader altcoin market remains sensitive to Bitcoin dominance and macro developments, Dogecoin’s setup—combined with speculative appeal and improving technical structure—suggests traders may soon shift from fear to opportunistic accumulation. As always, close monitoring of trend confirmations and volume dynamics will be key in validating any potential breakout.