Dogecoin at 3rd Touchpoint—Prime Entry in Ascending Channel

DOGE is retesting the third support touch of its bullish ascending channel.
Technical indicators suggest a potential bounce from current levels.
Historical patterns show similar setups led to major surges.

Dogecoin is exhibiting a classic bullish pattern identified as an ascending channel, characterized by its price consistently establishing higher highs and higher lows. Currently, DOGE is interacting with the lower support line of this channel for the third time—a point often regarded by traders as a potentially favorable entry opportunity.

This third interaction is significant. It often reinforces the pattern's reliability and indicates a potential shift towards buyer dominance. Should the support level hold, a subsequent upward movement could be anticipated.

Indicators Support the Move

Technical signals lend credence to the possibility of a rally. The Moving Average Convergence Divergence (MACD) is approaching a bullish crossover, and the Relative Strength Index (RSI) is maintaining a stable position around its midpoint. These indicators reflect a generally neutral to slightly positive momentum, suggesting that DOGE is neither excessively bought nor sold.

Analysis of volume trends and investor behavior reveals signs of accumulation at these levels. This could indicate that larger market participants are positioning themselves in anticipation of an upward trend.

#Dogecoin is at the third touchpoint of an ascending channel, making it the ideal buy level before a huge surge $Doge/M1 pic.twitter.com/ZiYlzKPAaG— Trader Tardigrade (@TATrader_Alan) July 4, 2025

Potential Upside

If Dogecoin experiences a rebound from this support level, initial targets may be set around $0.19 to $0.20—approximating the mid-point of the ascending channel. With sustained momentum, a breakout towards the upper boundary of the channel could propel DOGE towards $0.25 or even $0.30.

Historically, comparable patterns have resulted in gains ranging from 50% to 150%. However, it's crucial for traders to manage their risk by implementing stop-loss orders slightly below $0.16, in the event that the pattern fails to materialize.