Dogecoin Price Prediction: Will $0.26 Breakout Spark New Bullish Run?

Key Insights:

• Over 75% of Binance Futures DOGE traders hold long positions, indicating strong bullish sentiment among both retail and institutional accounts.
• Dogecoin open interest surged 23.52% in 24 hours, reaching $2.76B, exceeding its 15% price increase.
• The RSI of 79.71 and a breakout above the $0.22 Keltner band suggest potential momentum towards the $0.26–$0.28 range.

Dogecoin (DOGE) has garnered significant attention following a 15.69% price rally, pushing its value to $0.2375. Market data reveals high trading activity and positive sentiment. Traders are currently monitoring the $0.26 level as a potential breakout point. The meme coin has maintained support above key levels, and futures markets show increasing open interest, fueling expectations of a new upward trend.

Uptrend Holds as 75% of Futures Traders Maintain Long DOGE Positions

Dogecoin continues to trade above a steady ascending support line, reinforcing the bullish trend. The price has rebounded from this trendline multiple times, demonstrating buyer support at key levels. Recent periods of sideways price movement have consistently resolved in upward moves, a pattern often observed during accumulation phases in strong trends. DOGE has maintained a series of higher highs and higher lows, without breaking below recent support, further supporting the ongoing uptrend. Ali_Charts reported that over 75% of positions on Binance Futures were long. The DOGE/USDT long/short ratio stood at 2.83 on Binance and 2.85 on OKX, indicating bullish sentiment among retail traders.

Source: X

While global long/short data showed slight caution, with a 24-hour ratio of 0.929, shorter timeframes revealed more short liquidations. This intraday behavior could increase upward pressure as Dogecoin approaches the crucial $0.26 level.

Derivatives and Options Data Reflect Strong Trader Commitment

Dogecoin's derivatives market experienced increased participation as the price trend continued. Open interest in DOGE futures climbed 23.52%, adding $670 million in 24 hours. This coincided with a 15% price gain, suggesting that more traders are entering long positions anticipating further growth. Trading volume also increased by 14.07% to $7.22 billion, indicating higher liquidity and potential price support during periods of volatility. Leverage ratios on both Binance and OKX exceeded 2.3, reflecting bullish investor sentiment. According to CoinGlass, the most active Binance traders had a long/short ratio exceeding 3.1 at press time, indicating experienced participants leaning bullish. Across all platforms, long positions significantly outnumbered short positions, with a ratio of almost three to one.

Source: CoinGlass

Options activity reinforced this positive outlook. Volume and open interest increased substantially, with a 26.96% growth in volume to $410.4 million and a 69.35% increase in open interest to $631,910. This reflects trader positioning anticipating potential future price increases rather than short bets. Increasing open interest alongside rising prices strongly supports the rally, and when combined with technical signals, strengthens the potential for a push towards the $0.26 price level.

Dogecoin Technical Indicators and Price Forecast

Dogecoin's RSI was approximately 79.71 at the time of writing, technically overbought, but such readings are common during strong bull runs. In a trend breakout, a high RSI indicates confident investors. The Keltner Channel widened, and the price moved above the upper band, signifying increased market volatility and a clear shift from price consolidation. The Bollinger Band Percentage was 0.06458, suggesting continued price increases if momentum persists.

Source: X

Dogecoin recently surpassed the midline resistance of its Keltner Channel. If the price remains above $0.21 and breaks above $0.252, it may target the $0.26 to $0.27 range. The next major resistance zone lies near $0.300, a psychological level that many traders are likely monitoring. Liquidation data shows more short positions than long positions liquidated over the past 12 hours, suggesting potential price squeezes during upward movements. Over a four-hour period, short liquidations totaled $1.46 million compared to $712.92K in long liquidations.