Dogecoin price analysis shows that the cryptocurrency is showing strength again, breaking through $0.18 and sparking potential for a 45% rally.

The move is putting key technical resistance to the test, and analysts are assessing the implications.

What happened: Dogecoin price today is up 13% in 24 hours and trades at $0.18. The cryptocurrency is now testing a critical technical resistance level, which could propel it to new highs.

Why it’s important: Dogecoin has been stuck in a holding pattern for some time, with prices unable to break out of a key resistance zone. However, recent price action has seen it push through this barrier, setting the stage for a potential rally.

A recent analysis by Ben Armstrong, host of the crypto YouTube channel "Armstrong World," suggests that Dogecoin could rise by another 45% from current levels.

According to Armstrong's analysis, Dogecoin has now broken through a key resistance level at $0.15, a level it has been encountering since early 2023. This breakout is a bullish signal, especially considering that it happened after a period of consolidation.

The analysis also highlights the role of large holders, who have been steadily increasing their Dogecoin holdings. This activity is often a precursor to a price surge as institutional interest intensifies.

With rumors of a Dogecoin ETF also swirling, the cryptocurrency has several catalysts for further gains.

What’s next for DOGE price: Most technical indicators suggest that Dogecoin price could continue moving higher in the coming days and weeks.

The Relative Strength Index (RSI) is still in overbought territory, which could indicate a potential short-term pullback. However, the MACD is showing bullish momentum, and the Bollinger Bands are still expanding, both of which suggest that the uptrend is set to continue.

If Dogecoin price can sustain its momentum and close above the $0.15 resistance level on a key time frame, such as the 4-hour chart, then it could be clear for a move to the next resistance level at around $0.22. This would be an increase of about 45% from current price levels.

Another level to watch out for is $0.13, which is a key support level for Dogecoin. If the cryptocurrency drops below this level, then it could see a more significant correction.

However, with Bitcoin price holding up well and meme coins also in high demand, the crypto market is in a good mood, which bodes well for Dogecoin’s chances of continuing its recovery.

Read More: Dogecoin Hits 2-Month High As STI Edges Up 0.1% At Mid-Morning