Dogecoin News Today: Dogecoin Breaks Descending Trendline 15% On-Chain Volume Surge Signals Bullish Momentum Ahead of $0.25-$0.27 Resistance

Dogecoin (DOGE) has exhibited signs of a potential bullish reversal after breaking above a descending trendline on the 1-hour chart, ending a pattern of lower highs that had persisted since July 22. At the time of the report, the price traded at $0.2364, with analysts noting increased buying pressure and a 15% surge in on-chain transaction volume over the past week, signaling renewed trader interest [1]. This volume spike aligns with the recent price breakout, suggesting sustained momentum could follow [2].

The breakout confirmed a reversal of the bearish trend, with the previous resistance level now acting as a support zone. Technical analysis from Trader Tardigrade highlighted that the move occurred on July 26 after multiple failed attempts earlier in the week, effectively closing a three-day consolidation phase following a retracement to $0.23 on July 25 [3]. Despite the bullish shift, the price remains below short-term resistance in the $0.25–$0.27 range, which analysts view as a critical threshold for testing the next target at $0.29.

Key technical indicators present a cautiously optimistic outlook. The Relative Strength Index (RSI) stands at 60.46, indicating neutral momentum with potential for upward movement [4]. Meanwhile, the Moving Average Convergence Divergence (MACD) histogram shows slight weakness at -0.0005, though the price stays above the 20- and 50-day Simple Moving Averages (SMAs), reinforcing medium-term bullish sentiment [5]. The immediate challenge lies in sustaining a break above the $0.25–$0.27 range, as failure to do so could trigger consolidation or a reversal.

On-chain data underscores growing trader participation, with BitGuru reporting a 15% weekly increase in Dogecoin transaction volume. This surge in activity, coupled with the trendline breakout, strengthens the case for continued upward momentum. However, analysts caution that while the technical outlook is positive, the path to $0.29 remains contingent on maintaining strength above the short-term resistance cluster [6].

The market’s focus now turns to whether DOGE can sustain above the $0.25–$0.27 range to validate the bullish case. A successful breakout could see the price test $0.29, but traders must remain vigilant for potential pullbacks if volume or price action weakens. For now, the combination of structural support at the former trendline, rising on-chain activity, and a favorable SMA profile positions Dogecoin for a potential rally, provided key resistance levels hold.

Sources:

[1] [title1Dogecoin Shows Potential Bullish Reversal After Trendline Break with Eyes on $0.29 Resistance July 28, 2025] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]

[2] [title2Dogecoin Breaks Descending Trendline, Signaling Bullish Momentum] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]

[3] [title3Renewed Buying Pressure and Trend Reversal Confirmed by Expert Analysis] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]

[4] [title4What Are the Key Technical Indicators for Dogecoin’s Current Trend?] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]

[5] [title5How Does Short-Term Resistance Affect Dogecoin’s Price Action?] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]

[6] [title6On-Chain Volume Surge Highlights Growing Trader Interest] [url1https://en.coinotag.com/dogecoin-shows-potential-bullish-reversal-after-trendline-break-with-eyes-on-0-29-resistance/]