Dogecoin News Today: Dogecoin Shows 5.05% Gain, Bullish Momentum Builds

Dogecoin (DOGE) is currently exhibiting a technical pattern that mirrors its 2020 breakout, suggesting a potential for another rally. The cryptocurrency's price action, volume trends, and derivatives data indicate a strong bullish momentum. At the time of writing, Dogecoin was trading at $0.2014, showing resilience above the $0.19 support zone despite a recent pullback.

According to analysis prepared by GalaxyBTC, Dogecoin broke out of a long-term downtrend between 2018 and 2020 before experiencing a strong rally in 2021. A similar pattern has formed between 2021 and 2025, where the market produced a descending channel followed by a breakout and higher low. This chart has a higher high, higher low pattern, indicating that buyers remain strong since 2023. The latest monthly candle reflects strong momentum, with price holding above the $0.19 support zone despite a 7.85% pullback in the previous session. Fibonacci retracement analysis identifies the $0.195–$0.197 range as key support.

TradingView data indicates that Dogecoin moved from $0.190 to $0.200 on July 16, with 5.05% growth. Volume surged to 464.28 million, above the 24-hour average, suggesting increasing institutional activity. Derivatives data shows rising interest, with volume at $6.61B and open interest up 8.59% to $2.84B. Options open interest increased 20.38% to $2.96M. Traders on major exchanges are heavily positioned on the long side, with long/short ratios above 2.5. Binance’s top trader long/short ratio reached 3.2458 by position, confirming aggressive bullish expectations. Funding rates remained positive, while the RSI stood at 58, showing momentum without overbought conditions.

An observation by TATrader_Alan confirmed DOGE retested its support channel on July 15, maintaining structure on the hourly chart. If volume continues rising and DOGE reclaims $0.21, traders may watch for further gains toward previous highs. The strong volume and rising open interest show growing institutional and derivatives market support for DOGE. Traders are watching for a breakout above $0.21, with key support holding at $0.195–$0.197.

Dogecoin's resurgence in interest is driven by its monthly chart mirroring the setup that preceded its significant rally in 2020. This observation has sparked discussions among analysts and investors about the potential for another bullish run. The similarities between the current chart and the 2020 setup are notable, with Dogecoin experiencing a period of consolidation followed by a dramatic price increase. This has led some analysts to speculate that Dogecoin could be on the verge of another breakout rally.

One of the key factors contributing to Dogecoin's previous rally was the influence of social media. While the potential for another social media-driven surge remains a possibility, the increasing acceptance of cryptocurrencies by mainstream institutions could also provide a boost to Dogecoin's price. However, it is important to note that the cryptocurrency market is highly volatile and unpredictable. While the similarities between the current chart and the 2020 setup are intriguing, there is no guarantee that Dogecoin will experience another rally. Investors should approach the cryptocurrency with caution and conduct thorough research before making any investment decisions.