Dogecoin Drops 10% Weekly Amid Market Uncertainty

Dogecoin’s price experienced a decline this week, dropping from $0.25 to approximately $0.21. This downturn followed a brief rebound above $0.23 around May 17–18, which did not sustain. As of the latest update, Dogecoin is trading near $0.21, reflecting a 10% weekly decrease. Investors are closely monitoring the broader market trends, hoping for signals that indicate a potential uptrend in the long term.

Analyst Javon Marks maintains a bullish outlook on Dogecoin, noting that a key trendline that had capped the cryptocurrency since its peak at $0.70 gave way in late 2023. This breakout has led to higher highs and higher lows, according to Marks. He has kept his target price for Dogecoin at $0.65, which would represent a 200% gain from its current price of $0.21. Marks also highlighted potential future milestones at $0.74 and $1.25.

Market watcher Ali Martinez identified the $0.25–$0.26 range as a significant resistance level. This zone acted as support in December 2024 but flipped to resistance in early 2025. Since then, Dogecoin has attempted to surpass this level multiple times but has failed. In February, it reached $0.28 before reversing to below $0.15. A March rally saw it move above $0.19 but was unable to sustain the momentum. The most recent test in May peaked at $0.24 before closing at $0.22. Traders are now looking for a clear close above $0.26 to signal new momentum.

On-chain activity for Dogecoin has seen a strong uptick, with wallet activity jumping sharply. New addresses grew by over 100% in the last seven days, and active addresses climbed by 110%. Even zero-balance addresses rose by 155%, which often indicates fresh participation or address cleanup. While higher on-chain counts do not always translate to a price rise, they do show that more users are actively engaging with the cryptocurrency.

Achieving Dogecoin’s long-term goals, such as reaching $0.6533 or beyond, will not be straightforward. The cryptocurrency must first hold above $0.26 and then break through $0.28 with substantial volume. Significant price swings could prompt some holders to take profits, and external factors like social media buzz or exchange listings may be necessary to push Dogecoin past $0.30. In the short term, traders will be watching whether Dogecoin can reclaim $0.25 and hold it for a few days. If it does, the higher-low pattern remains intact. If it falls back below $0.21, the setup could collapse, leading to further losses. Currently, Dogecoin is in a tug-of-war between bullish chart enthusiasts and those who anticipate more downside.