Dogecoin (DOGE) Price Prediction: New Bullish Wedge Pattern Forms as DOGE/USD Surges 25%

Dogecoin (DOGE) has entered a cooling period in recent days, with traders closely monitoring key support and resistance levels for the popular meme cryptocurrency.

After a brief stall in its recovery, Dogecoin is showing signs of renewed buying pressure as it trades just below the $0.2250 level. The cryptocurrency is also aiming to stay above the 100-hourly simple moving average.

On the plus side, the price is forming a connecting bullish trend line with support at $0.220 on the hourly chart of the DOGE/USD pair.

Dogecoin faced strong selling pressure near the $0.2380 level, forming a high at $0.2378 before the price began correcting downward.

Dogecoin started a fresh increase and climbed above the $0.2320 zone. However, the buyers faced strong resistance near the $0.2380 level.

Dogecoin price is showing signs of cooling after the recent impressive surge of more than 25% in the past two weeks.

Dogecoin is showing signs of cooling after the recent impressive surge of more than 25% in the past two weeks. The cryptocurrency is currently trading in a small wedge pattern on the hourly chart.

Moreover, traders spotted several interesting patterns on Dogecoin’s charts. Trader Edge has identified a descending wedge, a typical bullish reversal pattern that could support a 15% price increase if confirmed.

A confirmed breakout could lead to a push towards the resistance zone around $0.30

$0.20 is a key level of support if we get a deeper correction

If we get a breakout of the wedge, it could add 15% to the price of Dogecoin. It is currently trading at $0.2120.

A deeper correction could see the price of Dogecoin test the $0.20 level.

The next major resistance for the bulls is at $0.2320, and traders could find the price facing strong selling pressure again near $0.2380.

If the price breaks above the $0.2380 level, it could continue toward the $0.250 mark. The next major stop for the bulls is at $0.2850.

On the downside, the immediate support is at $0.220, and a break below this level could push the price toward the $0.2120 level.

The Relative Strength Index (RSI) dropped below the 50 level, while the MACD is gaining momentum in the bearish zone.

However, crypto expert Javon Marks offers a more optimistic long-term outlook.

Marks recently revealed that DOGE “has confirmed a major bullish signal on its chart,” suggesting that another leg of upward momentum could be developing.

"Dogecoin has confirmed a major bullish signal on its chart. Expect another leg up toward the $0.30 level before we see any deeper retracement. Long-term, Dogecoin is in the midst of a bull market with a potential to rally to $1 in the next 24 months."

Dogecoin is currently trading hands at $0.2120, boasting a 24-hour trading volume of $1,014,162,640. The cryptocurrency's price remains about 1,084.96% above its all-time low of $0.1800, reached in March of 2020.

The cryptocurrency is down about 0.6% for the week but has risen by more than 25% in the past two weeks.

Stay tuned to Benzinga for more cryptocurrency coverage.

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