Dogecoin (DOGE) price has hit $0.20, a level not seen in months. The popular meme coin is now in the top 10 by market cap, with a total market cap of over $29 billion.

What Happened: Dogecoin is trading at $0.2078 at the time of writing, up more than 10% in the past 24 hours. The biggest cryptocurrency by volume is trading at $66,164, a 0.96% increase over 24 hours.

Dogecoin gains can be attributed to its breakout from the 50 SMA at $0.1778, which launched a strong move and brought buyers at higher levels. The 1.618 Fibonacci extension of the rally from December lows to March highs is at $0.1970, which was also breached on Monday.

"A move above this level could open the door for a continuation of the rally towards the 2.272 Fibonacci extension at $0.2103, followed by the 2.618 level at $0.2173. On the other hand, a pullback could find support at the 1.414 Fibonacci level at $0.1928," the analyst noted.

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Why It's Important: Dogecoin is one of the most popular meme coins and is known for its strong community support. The coin has been a favorite among retail investors, who helped to fuel its massive gains in 2021.

At its peak, Dogecoin rose to an all-time high of $0.74 in August 2021, but it has since pulled back significantly. However, recent technical indicators suggest that the coin could be gearing up for another leg higher.

If Dogecoin can break above the 1.618 Fibonacci extension and close above it, it could continue to rally towards the 2.272 Fibonacci extension at $0.2103. This level is closely followed by the 2.618 Fibonacci extension at $0.2173, which could be the next major resistance level.

On the other hand, if Dogecoin pulls back from current levels, it could find support at the 1.414 Fibonacci level at $0.1928. This level is closely followed by the 1 Fibonacci level at $0.1831 and the 0.382 Fibonacci level at $0.1736.

Ultimately, the direction of Dogecoin will depend on the balance of supply and demand. If buyers remain in control, Dogecoin could continue to rise in the coming weeks and months. However, if sellers regain the upper hand, Dogecoin could pull back towards key Fibonacci support levels.