Dogecoin (DOGE) price shows signs of renewed momentum this week, fueled by significant accumulation from whale wallets and promising technical formations suggesting a potential breakout.

Over the past week, major wallets acquired over 100 million DOGE. Analysts have identified a long-term cup pattern that could propel the token's price as high as $5 in the long run.

Whale Accumulation Strengthens

Large-scale Dogecoin transactions surged this week. Analyst Ali Martinez's on-chain data reveals wallets holding between 10 million and 100 million DOGE acquired 100 million tokens in the past seven days, following a period of lower inflows in April.

Source: Ali Martinez, X

This increased whale holding suggests growing confidence among large investors. Similar accumulation patterns in 2021 preceded significant price rallies, pushing DOGE above $0.70. At the time of this recent accumulation, Dogecoin's price hovered near $0.14, accompanied by increasing volume on major exchanges. Crucially, these newly acquired DOGE tokens haven't returned to exchanges; instead, they've moved into long-term wallets, effectively reducing the circulating supply and bolstering bullish sentiment by limiting downside volatility and increasing the potential for a supply squeeze.

Cup Formation Suggests Long-Term Bullish Trend

CryptoELITES' technical analysis on X highlights a multi-year cup pattern on Dogecoin's weekly chart. This formation, characterized by a rounded bottom and neckline resistance near $0.225 (a zone that previously acted as both resistance and support), aligns with Dogecoin's historical patterns where prolonged consolidation precedes substantial upward movements.

Source: CryptoELITES, X

Projected breakout targets from this formation are $0.75, $1.50, and $2.70, with a potential extension to $5 if broader market conditions are favorable. CryptoELITES further suggests Dogecoin may have completed its bottoming phase, supported by increasing volume and upward-trending moving averages. Sustained price action above the neckline would confirm this bullish continuation.

Short-Term Target of $0.225: Immediate Resistance for Dogecoin

Analyst Andrew Griffiths of Whalehunt predicts a short-term Dogecoin price target of $0.225. Having previously profited near recent highs, Griffiths re-entered at $0.14, identifying a potential 25% breakout zone with a possible 40% gain if the pattern holds.

Source: Andrew Griffiths, X

His analysis reveals a rounded base between $0.14 and $0.19, mirroring the early stages of the larger weekly cup pattern. Sustained price action above $0.14 increases the likelihood of a move towards $0.225. Rising volume on both 4-hour and daily charts supports this outlook. However, Griffiths cautions that prices below $0.12 could invalidate the current setup, potentially delaying any breakout.

Positive Sentiment and On-Chain Data Reinforce Bullish Outlook

Community sentiment towards Dogecoin is increasingly optimistic, reflected in rising social media mentions and engagement metrics indicating renewed retail interest. Open interest in DOGE futures also increased by 8% this week, suggesting stronger speculative positioning. On-chain data shows growing exchange outflows, with holders moving DOGE into cold storage, reducing sell pressure and further supporting the bullish case. Declining exchange supply corroborates the accumulation theory. Positive funding rates on major exchanges, indicating a predominance of long positions over short positions, add to the bullish narrative. The combination of improving volume, whale activity, and positive sentiment paints a bullish picture. Sustained price action above $0.20, especially a break above $0.225, could accelerate a move towards $0.75 and $1.50.