The popular meme coin Dogecoin (DOGE) has once again captured the attention of crypto traders and investors as it continues to show signs of bullish momentum despite recent setbacks. Over the past 24 hours, DOGE has surged by 7.3%, and is now trading at $0.174 at the time of writing.

This latest price action comes after Dogecoin dropped to a two-week low of $0.160, triggering a wave of buying interest that has helped to propel the cryptocurrency higher.

Chart: Trading View

However, this latest move also saw the activity in Dogecoin’s derivatives market surge, with options volume soaring by 84.21% and Open Interest (OI) rising by 8% to $804K.

This signals that traders are positioning themselves for potential upside in the meme coin, placing bullish bets as the cryptocurrency attempts to recover.

Is Dogecoin Showing Signs Of A Breakout?

Dogecoin’s price action suggests that a bullish crossover is emerging, which could signal further gains ahead.

Here’s a closer look at the technical outlook:

Support And Resistance Levels: To factor in Fibonacci levels, if Dogecoin manages to break above the 0.382 Fib, it could pave the way for a move toward the 0.5 Fib and beyond. But failure to sustain current levels might lead to a retest of lower Fib support zones.

Relative Strength Index (RSI): The RSI on the 4-hour chart suggests that Dogecoin is becoming oversold, which usually occurs when a security experiences rapid price increases.

Moving Average Convergence Divergence (MACD): The MACD is showing signs of bullish momentum with the fast-moving average pulling ahead of the slower-moving average and the difference between the two converging. A bullish MACD crossover usually occurs when the faster-moving average completely crosses above the slower-moving average.

Dogecoin Price Prediction: What's Next?

Given the recent bullish momentum, analysts are now speculating on the next move for Dogecoin. Here are some possible scenarios:

Bullish Scenario: If Dogecoin manages to break above the 0.382 Fib with strong volume and continues higher, it could aim for the 0.5 Fib in the short term. Further bullish continuation could take DOGE to the 0.618 Fib or even higher.

Neutral Scenario: If DOGE consolidates between the 0.236 Fib and the 0.382 Fib, it may establish a new trading range before making its next move.

Bearish Scenario: If Dogecoin fails to hold support at the 0.236 Fib, a retest of the 0.147 Fib could be on the horizon.

Dogecoin has recently been performing poorly compared to other major cryptocurrencies.

This latest move higher comes as several altcoins have struggled in recent weeks, especially in the wake of the U.S. Securities and Exchange Commission’s (SEC) lawsuits against major crypto exchanges Binance and Coinbase (NASDAQ:COIN).

However, despite the legal and economic challenges facing the cryptocurrency industry, some altcoins have managed to outperform.

Among them is Dogecoin, which has shown resilience and sparked interest among traders.