Usman Salis
Dogecoin's price action has entered an extended consolidation phase, but the meme coin's long-term bullish structure remains intact. Despite sideways movement, DOGE continues trading above major support zones, keeping the door open for significant upside potential.
Wave-4 Triangle Formation Suggests Extended Consolidation
Dogecoin is currently stuck in what appears to be a prolonged sideways pattern. The current price behavior might represent a wave-4 triangle within a larger market cycle. The coin is still trading comfortably above its major long-term low, which technically preserves the bullish outlook—though nothing's confirmed yet.
The chart reveals DOGE compressing within converging trendlines after its previous rally. Right now, this looks more like consolidation than any continuation of the uptrend. The pattern suggests we could see more sideways action until something breaks. The projection treats this triangle as a corrective phase that needs to complete before any real expansion can begin.
"The structure suggests sideways movement could persist until a decisive breakout occurs," noted the analyst.
What Needs to Happen for DOGE to Rally
The next big move hinges entirely on whether DOGE can break out of this compression zone convincingly. The charted pathway shows a gradual recovery phase first, followed by a stronger expansion much later down the line. This isn't about an immediate pump—it's a multi-year bullish possibility that depends on structural confirmation. Similar long-term setups have been explored before, including when DOGE trades below 200 WMA as RSI hits 2022 lows.
Key Levels Traders Should Watch
Long consolidations like this one often come before major volatility spikes, but which direction that volatility takes depends on the breakout. As long as DOGE stays above that major structural low, the bullish framework stays alive. Drop below it, though, and the whole scenario falls apart.
For now, Dogecoin remains locked in compression. There's a potential pathway mapped out, but it's just that—potential. No confirmed trend exists yet, and patience will be crucial for anyone watching this setup unfold. The 10x possibility remains on the table, but only if the technical pieces fall into place and confirmation arrives.
Usman Salis
