Dogecoin Price Enters Recovery Phase After Breaking Rising Wedge, Time to Buy?

Dogecoin Price Shows Signs of Recovery

Multiple indicators suggest Dogecoin (DOGE) is entering a short-term recovery phase. Reduced selling pressure, a key technical breakout, and increased whale accumulation all contribute to a bullish outlook.

Whale Accumulation Exceeds 100 Million DOGE

On-chain data reveals that large Dogecoin holders (owning between 1 million and 10 million DOGE) accumulated over 100 million coins in the past week. This increased their total holdings from approximately 10.45 billion DOGE to over 10.55 billion DOGE by the end of April. This accumulation, coinciding with a price rise from approximately $0.153 on April 13th to $0.176 by April 30th, suggests confidence among experienced market participants. These whales are known for strategic buying during consolidation periods and holding through short-term volatility. Continued accumulation could reduce the circulating supply on exchanges, potentially supporting price levels.

Source | X

Persistent Negative Exchange Flows

Coinglass data shows consistent net outflows of DOGE from centralized exchanges since early March. Several days saw outflows exceeding $100 million. While April's outflows were slightly lower in volume, the overall trend remains negative. This indicates more DOGE is being withdrawn than deposited, suggesting long-term holding behavior and reduced selling pressure. The price stability between $0.13 and $0.18 during this period, coupled with continued outflows, suggests a consolidation phase before a potential broader price movement.

DOGE spot inflow/outflow | Source | X

Technical Analysis Points to Recovery

Trader Tardigrade's technical analysis highlights a repeating pattern on the 4-hour DOGE chart. A rising wedge breaking into a parallel channel, followed by an upward breakout and subsequent short-term recovery, has repeated since early April. The current price (above $0.174 as of May 1st) is above the latest parallel channel. This pattern, characterized by alternating buying pressure, consolidation, and renewed momentum, suggests a potential for further price increases, particularly if confirmed by volume spikes and strong follow-through candles.

Source | X

TVL Shows Signs of Rebound

While Dogecoin's Total Value Locked (TVL) declined in the first quarter of 2025, reaching near $2 million in early April from a peak of over $10 million, recent data shows a slight uptrend. This aligns with the price recovery and technical pattern. Although Dogecoin's DeFi activity is relatively low compared to larger blockchains, even small increases in TVL suggest renewed community and developer engagement.

Dogecoin TVL | Source | X

The information presented here is for informational purposes only and does not constitute financial advice. Conduct thorough research before making any investment decisions.