Dogecoin (DOGE) price rose nearly 5% in the past 24 hours to trade around $0.18. The meme coin's recent surge has added over $2.2 billion to its market capitalization in just two days, now sitting at $26.88 billion.

The rally comes amid the broader crypto market uplift following the US Federal Reserve's decision to keep interest rates unchanged.

Analysts on X have noted that DOGE witnessed a 114% climb from peak to peak in its last two major moves. With its local high sitting at $0.46 back in December 2024, some bulls speculate a potential 500% breakout that could send the token to $1.

DOGE Price Outlook

Dogecoin has recently seen a rise in its popularity due to DOGE ETF filings by asset managers such as 21Shares and Osprey Funds.

On the daily chart, Dogecoin appears to have formed a falling wedge pattern since early February. The breakout seems to be occurring near $0.18, and given that the wedge's widest point spans the $0.35 to $0.40 range, this could project a target between $0.53 and $0.58.

The MACD on the 4-hour chart supports the bullish case. It has just flipped positive, with the MACD line crossing above the signal line. A clear uptick in histogram bars further confirms the bullish bias.

MACD on the 4-hour chart. Source: TradingView

Meanwhile, the RSI currently sits around 62, approaching overbought territory. While this reflects strong buying pressure, short-term traders should be cautious, as overheated rallies lead to corrections.

Read More: Top 5 Crypto Prices To Watch This Week: BTC, ETH, XRP, ADA, DOGE

Also, Bollinger Bands show DOGE price breaking above the upper band, suggesting potential overextension. If the price holds sustainably above the band with increasing volume, it could signal strength. However, a re-entry into the bands could result in a short-term retracement.

Furthermore, popular crypto analyst Ali Martinez recently noted a trendline on the DOGE weekly price chart since November 2023. He predicts a potential rebound to $0.30, given the meme coin dips to $0.14.

This trendline has supported #Dogecoin $DOGE since October 2024. A dip to $0.14 could present a buying opportunity ahead of a potential rebound to $0.30.

Join me in this trade by signing up to @coinexcom using my referral link https://t.co/73n8mW9Y5p pic.twitter.com/lD9kr4BJOL

— Ali (@ali_charts) May 7, 2025

Traders could see some resistance around $0.20, followed by $0.23 and then the December high at $0.46.