Dogecoin Surges 19.7% Outpacing Bitcoin 8.75% Gain

Dogecoin (DOGE) has experienced a significant rally over the past two weeks, with its price surging by 19.7%. This impressive performance has outpaced Bitcoin's 8.75% gain during the same period, drawing attention from traders and analysts alike. The cryptocurrency has broken through a key resistance level at $0.196, setting its sights on the next target zone between $0.23 and $0.25.

Crypto analyst CryptoKaleo has noted that the current price action of Dogecoin mirrors a trend pattern observed in December 2020, which preceded a monumental 36,000% rally. The analyst's chart indicates that DOGE is following a similar trend line, having declined along a downward trend before finding a bottom. This pattern suggests that the meme coin may be marking another bottom after breaking down within the trendline, similar to the setup in 2020.

Technical indicators support the bullish momentum for Dogecoin. The cryptocurrency has been creating higher lows and higher highs consistently since June 22, forming a bullish pattern on the daily chart. However, the On-Balance Volume (OBV) indicator remains below June highs, which may suggest that buying pressure is weakening.

Despite the bullish signals, a repeat of the 2020 rally to $72 per coin would require an unrealistic market cap exceeding $2 trillion, given Dogecoin's unlimited supply and constant inflation. More realistic near-term targets include the $0.23-$0.25 supply zone, which represents approximately 27% upside from current levels. Traders are positioning for range-bound trading between these levels, with long positions near mid-range and targets at $0.25 appearing favored.

The next major test for Dogecoin arrives at the $0.25 level, where sellers may emerge. Continued demand flow and Bitcoin's performance will likely influence DOGE's ability to reach higher targets. The current price action shows DOGE trading above $0.2 with a clean break of resistance, indicating strong bullish momentum.