Eseandre Mordi
After enduring weeks of downward momentum, Dogecoin (DOGE) may be gearing up for a comeback. A familiar technical pattern has emerged that could mark a significant shift in direction. The double bottom visible on the daily timeframe suggests DOGE might be ready to bounce back if it can gather enough strength above its critical resistance level.
Double Bottom Pattern Points to Potential Reversal
Market analyst Trader Tardigrade has identified what appears to be a classic double bottom developing on DOGE's chart - a bullish reversal signal that often marks the end of a downtrend and the start of recovery.
The chart reveals two well-defined lows hovering around the $0.175–$0.18 support zone, followed by upward movement. This formation shows buyers have defended the same price level twice, establishing a solid foundation for what could become a trend reversal. The blue horizontal line representing the neckline sits near $0.215. A daily close above this level would validate the pattern and potentially kick off a rally toward $0.24–$0.25, as shown by the green arrow projection.
Technical Levels Worth Watching
The pattern displays the characteristic "W" shape with twin bottoms, and the setup looks both visually clean and technically sound. Key levels include support at $0.175–$0.18, resistance at the $0.215 neckline, and a projected target range of $0.24–$0.25. This aligns with DOGE's historical tendency to stage strong rallies following extended consolidation phases.
While technical signals are looking more encouraging, experts note that a catalyst would help accelerate the move. DOGE frequently responds to social media buzz, high-profile endorsements, or broader crypto market shifts driven by Bitcoin. Currently, the market sentiment leans cautiously optimistic, with improving liquidity and moderate volumes suggesting conditions are ripening for recovery. Still, the coin needs to hold above $0.215 to validate this bullish scenario.
What Comes Next
The current price structure offers an attractive setup for bulls, but confirmation remains essential. If buyers can push through the neckline, the breakout could generate quick gains as momentum accelerates. For now, DOGE sits in waiting mode - tightly coiled within its range, ready for either technical confirmation or a broader market spark to determine its next major move.
Eseandre Mordi
