Dogecoin Shows Bullish Signals With 17% Price Rebound Potential

Dogecoin (DOGE) has recently exhibited a double-bottom pattern, a technical formation that suggests a potential price rebound. This pattern, characterized by two consecutive lows at approximately the same price level followed by a rebound, is widely recognized as a bullish reversal signal. Analysts have noted that this formation could indicate a significant upward movement for the cryptocurrency, with projections suggesting a potential increase towards the $0.25 mark. The neckline at $0.17 is seen as crucial for this potential upward momentum.

The appearance of this double-bottom pattern has garnered significant attention among crypto traders, despite the absence of official statements from key industry figures or developers. The pattern's implications for market trends have sparked renewed interest, particularly from traders who closely observe chart formations. Historical patterns suggest that high trading volume typically follows such technical setups, which could further validate the potential price increase.

Dogecoin's recent price action has shown a bounce back above the $0.16 level after printing a double bottom pattern near $0.157. This reversal was supported by strong volume during early July trading hours, indicating growing buyer interest. The double bottom pattern has helped reclaim lost ground and suggests that Dogecoin could be on the verge of a major rally. For this positive structure to hold, Dogecoin must decisively clear the $0.17 resistance level. A break above this mark could invalidate the broader downtrend that has gripped the coin since May.

Seasoned trader Trader Tardigrade noted that Dogecoin has breached a downward trendline that persisted for over 50 days. This breakout has shifted technical momentum in favor of the bulls, with new “higher high” and “higher low” formations on DOGE’s daily chart often preceding significant upward moves. If history repeats, Dogecoin could soar far beyond its previous highs. Adding to the optimism, crypto strategist Kaleo shared a comparative weekly chart suggesting that Dogecoin's price prediction for 2025 might mirror its 2020 parabolic run. Kaleo pointed to two large falling wedge formations: the first led to DOGE’s rally from $0.003 to $0.75, while the current wedge seems to be approaching a similar resolution. The wedge structure—characterized by lower highs and compressed volatility—has begun to break upward. If the current breakout continues to track the 2020 pattern, Dogecoin could initially surge to $0.55 before a consolidation phase, potentially extending toward $3.50.

Despite the bullish momentum, resistance around $0.17 remains a critical barrier. Prominent technical trader Ali Martinez highlighted the significance of this level, stating that a close above $0.17—paired with a Tom DeMark (TD) Sequential buy signal—could push Dogecoin to $0.21 in the near term. Whale activity and on-chain volume spikes have also been noted around current price levels, suggesting that large investors are beginning to accumulate. This increased market confidence further supports the potential for a significant price rebound.

The question of whether Dogecoin will reach $1 continues to dominate investor conversations. Based on current predictions, a breakout above $0.17 could serve as the first serious step in that direction. However, reaching the $1 threshold will likely depend on broader market conditions, including overall crypto liquidity and external macroeconomic factors. While immediate upside projections are cautiously optimistic, long-term Dogecoin projections suggest that the meme coin could revisit or surpass previous all-time highs.

As the meme coin market regains traction, Dogecoin is flashing multiple bullish signals: a double bottom breakout, a falling wedge resolution, and increased whale accumulation. Analysts believe that DOGE could be on the verge of a major rally, especially if it conquers the $0.17 resistance zone. With historical patterns, technical breakouts, and trader sentiment aligning, the Dogecoin price prediction narrative is turning increasingly positive. While short-term volatility remains a risk, the long-term Dogecoin potential could make current levels an attractive entry point for risk-tolerant investors.