Sergey Diakov
Dogecoin (DOGE) is showing signs of renewed strength after completing a significant chart pattern that could signal the beginning of a more sustained rally. After weeks of consolidation through October, the popular memecoin has broken free from a descending triangle structure, suggesting buyers are stepping back in.
Dogecoin Exits Its Downward Formation
Throughout most of October, DOGE was trapped in a descending triangle on the daily timeframe. According to recent analysis from Trader Tardigrade, this pattern showed price action squeezed between horizontal support near $0.182–$0.185 and a series of lower highs.
The chart has now resolved upward, with Dogecoin pushing above the descending trendline around $0.20. The candle structure displays strong upward momentum and hints at a shift from distribution to accumulation. The pattern projects a gradual climb toward $0.265, which aligns with the previous swing high. There are still hurdles around $0.21–$0.22 where consolidation might occur.
Market Factors Supporting the Move
The breakout coincides with improving sentiment across the broader crypto market. With Bitcoin holding near all-time highs and Ethereum gaining strength, altcoins are starting to catch a bid after weeks of sideways action. Dogecoin, known for its high-beta behavior during market expansions, is benefiting from this renewed risk appetite. Whether this rally has legs will depend on volume confirmation and holding above the $0.195–$0.20 zone.
Key Levels to Watch
- Support Zone: $0.182–$0.185 (former triangle base)
- Near-Term Resistance: $0.21–$0.22
- Major Target: $0.265 (previous swing high)
A clean close above $0.21 would strengthen the bullish case in the short term, while a drop below $0.185 could invalidate the current setup and reintroduce downside risk.
Signs of a Reversal
Dogecoin's latest price action shows promising technical alignment. The breakout from the descending pattern suggests selling pressure is fading and buyers are regaining control. If momentum holds, a move toward $0.26–$0.27 could mark the start of a more sustained upward phase. The next few days will be critical in determining whether this structural shift turns into a full bullish advance.
Sergey Diakov
