Dogecoin is trading within a bullish flag pattern as whale support increases. Could this propel DOGE into a breakout rally toward $0.35?
The meme coin is up 3.56% today, currently trading at $0.2270, as meme coins bounce back following days of consolidation. Will this short-term rebound push DOGE above the $0.25 level?
Dogecoin Price Analysis Targets $0.35
On the 4-hour chart, Dogecoin shows a pullback within a narrowing range after peaking at $0.25 on May 11. As bullish momentum weakens, DOGE forms lower highs, resulting in a descending trendline. However, strong support around the $0.2183 level has formed a triangle pattern.
The 53% surge in DOGE last week supports the formation of a bull flag pattern. Currently, DOGE is forming a bullish engulfing candle near the baseline, with a 3% gain. This development increases the likelihood of a bullish breakout as the price approaches the flag’s apex.
The recent slowdown in price action pushed the Relative Strength Index (RSI) below the midline. However, a surge in momentum has brought the RSI back to the center, raising the chances of a bullish resolution. Additionally, the MACD and signal lines are nearing a positive crossover in negative territory, supported by a decline in bearish histogram bars.
A potential breakout could push DOGE’s price up by 53%, targeting the $0.3543 level. Conversely, a breakdown below $0.2183 would invalidate the bull flag pattern, with the price at risk of retesting the $0.20 zone.
Analyst Highlights Whale Accumulation and Network Growth
Supporting the bullish outlook, Dogecoin has experienced network expansion and increased whale accumulation over recent months.
According to a tweet by Ali Martinez, whales have acquired more than 1 billion DOGE in the past month, bringing their total holdings to 25.97 billion DOGE. This growing confidence among large holders strengthens the bullish case for DOGE.
Further bolstering the trend, network activity has surged, with transaction volume nearing $549 million and daily active addresses reaching 69.2k.
Together, these metrics enhance the likelihood of a successful bull flag breakout and a continued rally for Dogecoin.
#Dogecoin $DOGE is seeing a rise in active addresses, transaction volume, and whale activity. All bullish signals that could support further upside! pic.twitter.com/pRHObYo60J
— Ali (@ali_charts) May 16, 2025
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