Dogecoin price has made a strong start to May after staying mostly flat in April. Prices have surged more than 42% this week, pushing above $0.24, driven by growing interest from both everyday and institutional investors.

At the time of writing, DOGE trades at $0.2473 with an intraday high of $0.251, marking a 6.83% gain in the past 24 hours. Technical signals are again stirring talk of a potential breakout.

According to Trader Tardigrade, a well-followed crypto chart analyst, Dogecoin’s monthly Relative Strength Index (RSI) has begun to form the same pattern that appeared ahead of its previous two major rallies. In his chart, the RSI shows a round-bottom shape in 2017, 2021, and now in 2025.

Each time, that setup went on to spark a sharp price spike. In 2017, Dogecoin went from about $0.000327 to $0.011. Then in 2021, it surged from $0.0035 to $0.73.

In both cases, the RSI moved from around 0.00002 to 0.00007, which kicked off the rally. The same kind of RSI movement is now starting to show again.

Analyst Predicts Dogecoin RSI-Driven Rally

“Dogecoin’s monthly RSI still has a lot of room for the next surge,” said Trader Tardigrade, further noting another implication in his chart for 2025.

His chart includes a new yellow box that extends upward, with price levels visually pointing toward $8—suggesting a long-term bullish projection. The analyst also flagged a second bullish signal. This one is on the weekly MACD chart.

The MACD line is about to cross above the signal line, a move that has lined up with big upward trends in the past. The last two MACD crossovers — in October 2023 and September 2024 — triggered rallies of 285% and 460%, respectively.

In October 2023, Dogecoin climbed from $0.06 to $0.23. Then in September 2024, it soared from $0.086 to $0.48, reaching its highest price in several years. These crossovers both came after rounded bottom patterns formed on the charts — a shape the coin is repeating again now.

MACD Close to Bullish Crossover

The current price structure shows the same rounded low and a higher bottom, with the MACD’s blue line now nearing an upside cross. This, combined with strong crypto market sentiment after Bitcoin price broke above $100,000, adds to the case that Dogecoin could be entering a third strong rally.

Tardigrade projects the $1 level as the next target. This figure sits on an ascending resistance line that previously marked the peaks at $0.23 and $0.48. The current setup looks ready for a repeat, suggesting the meme coin could follow a similar climb if the MACD breakout completes.

Reaching $1 from current levels would mean a price jump of around 304%. While a big move, this target aligns with Dogecoin’s history of making swift and large price shifts once key technical signals align.