Dogecoin (CRYPTO: DOGE) price is down 2.5% in the last 24 hours and the broader crypto market downturn continues following US President Donald Trump’s announcement of a global 10% tariff proposal.

What Happened: Analysts are closely watching DOGE for a crucial breakout or breakdown at a key support level.

Crypto analyst Ali Martinez highlighted on X that on the weekly price chart, the largest memecoin has been trading inside a parallel channel since July 2018.

According to his analysis, if DOGE manages to stay afloat above the $0.16 support, it could propel a major rally towards $0.50. This would be a staggering 250% surge from its current price.

However, should the token fail to hold this threshold, a steep correction to $0.06 may be on the cards.

“Dogecoin $DOGE is at a make-or-break level. If $0.16 holds, a rally to $0.57 could follow. If it fails, a drop to $0.06 becomes likely.”

#Dogecoin $DOGE is at a make-or-break level.

If $0.16 holds, a rally to $0.57 could follow.

If it fails, a drop to $0.06 becomes likely.

.

If $0.16 breaks, the implication is a continuation of the bear market that started July 2018. A new bull market would be signaled if the $0.16-$0.14 fib level holds.

It is also noteworthy that Dogecoin’s futures open interest (OI) has decreased by over 3% to $1.56 billion, indicating reduced speculative interest among traders.

Derivatives trading volume has experienced a significant 40% surge to reach $5.24 billion, suggesting a period of heightened volatility for traders.

DOGE Price Action: DOGE is trading at $0.1645 at the time of writing, showing a 24h volatility of 4.5%. The coin's market cap is $24.40 billion and its 24h volume is $1.92 billion.