TL;DR
Dogecoin is showing bullish momentum, breaking past key support levels, with analysts eyeing short-term targets as high as $0.28.
However, there are also some warning signs on the DOGE front, such as declining trading volumes and retail interest.
Further Gains Ahead?
The price of Dogecoin (DOGE) has pumped by almost 5% in the past 24 hours, currently trading at around $0.17 (per CoinGecko’s data). Some popular analysts believe there is much more room for growth based on the potential breakout of key levels.
On May 6, Ali Martinez – an X user who often explores the meme coin’s performance – claimed that DOGE “is testing key support” around $0.167. He thinks that holding this zone could spark a rebound toward $0.175 and even $0.183. Dogecoin did not struggle with that task, and as mentioned above, rallied beyond $0.17.
For their part, Efloud described $0.169 as the low time frame (LTF) support level. “I don’t see a big problem if (the) price doesn’t lose this zone. This zone may work as (a) support area on pullbacks.”
The X user also told their more than 170,000 followers that a further ascent would depend on the potential rise above $0.174.
Trader Tardigrade assumed that DOGE’s chart has recently formed a so-called “Diamond Bottom” reversal pattern, suggesting a possible shift to an uptrend. The industry participant set a short-term target of around $0.28.
Kamran Ashgar chipped in, too. They think DOGE “is waking up,” and when it does, it may fuel an overall revival of “the whole meme coin army.”
What Are Indicators Suggesting?
Contrary to the bullish predictions outlined by the analysts above, some metrics signal that the meme coin might suffer a setback soon.
Data compiled by the blockchain analysis platform Arkham shows that DOGE exchange inflows have surpassed outflows in the past week. This hints at a shift from self-custody methods toward centralized platforms and could increase the immediate selling pressure.
Additionally, DOGE’s trading volume has been on a significant decline in the past month, while the interest in it has faded lately. The Google searches involving the leading meme coin in the last weeks are far from the peaks observed in November last year and February 2025. Diminished interest in the asset may signal waning investor confidence, especially from retail.
Finally, let’s observe DOGE’s Relative Strength Index (RSI), which measures the speed and magnitude of the latest price changes. The momentum oscillator varies from 0 to 100, and readings below 30 indicate the token could be overbought and headed for a rally. Conversely, anything above 70 is considered bearish territory.
On May 6, the ratio dropped to 30, but it rose in the following hours. It is currently set at around 50, which is a neutral zone.
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