Dogecoin Weekly RSI Suggests Bullish Reversal, Eyes $1 Target

Dogecoin's Potential Bullish Reversal: A Technical Analysis

Dogecoin (DOGE) shows signs of a potential bullish reversal, according to several technical indicators. As of March 31, 2025, DOGE is trading at approximately $0.1643, down 2.55% in the last 24 hours. Despite this recent dip, analysts point to several factors suggesting a possible upward trend.

The weekly Relative Strength Index (RSI) is approaching oversold levels, a pattern often preceding bullish reversals. This is further supported by recent candlestick patterns on the weekly chart, including Doji and inverted hammer formations. These patterns resemble those seen before significant price rallies in October 2023 and September 2024. Crucially, DOGE remains above key support levels.

Adding to the bullish case is a "9" buy signal on the TD Sequential indicator. This rare signal often indicates trend exhaustion and a potential reversal. An analyst commented, "Historically, the '9' signal has coincided with trend reversals when supported by other indicators. When paired with RSI behavior and the candlestick setup, it raises the probability of a short- to medium-term bounce."

Traders are watching resistance levels at $0.18 and $0.22, with some targeting a return to the $1 level—a psychological threshold not reached since early 2021. However, broader market conditions remain influential. Bitcoin's price, macroeconomic sentiment, and overall investor risk appetite will significantly impact the sustainability of any potential DOGE breakout.

While the technical indicators suggest a reversal, analysts emphasize the need for confirmation before committing to long-term positions. Currently, DOGE is range-bound but poised for a potential breakout, contingent upon favorable market conditions.