Dogecoin (DOGE), the original meme coin, is once again in the spotlight as technical analysts point to a potential shift in momentum. After a recent bounce from key support levels, market watchers are debating whether DOGE is poised for a significant move—or if volatility could still disrupt the rally.
Technical Set-Up Signals Potential Upside
According to independent chartist Maelius, Dogecoin’s price action is currently tracing a classic “nested 1-2, 1-2” Elliott Wave formation. This technical pattern, often described as “spring-loaded,” can precede a strong third-wave rally if confirmed. The recent price rebound from $0.142—right at the intersection of the 200-week exponential moving average (EMA) and a long-term rising trendline—has given bulls a clear reference point for risk management. This area, which has acted as a support since late 2023, is seen as a critical zone for long-term investors to defend .
Demand Zone and Momentum Indicators
The chart highlights a demand zone between $0.12 and $0.17, an area that has repeatedly attracted buyers. Last week’s price action dipped into this zone before reversing, reinforcing its importance. Momentum indicators, such as the WaveTrend Oscillator, suggest that DOGE may be emerging from an oversold condition, with both fast and slow lines showing signs of a potential reversal.
Price Targets and Market Outlook
If the Elliott Wave scenario plays out, Maelius projects that Dogecoin could target the $1.10–$1.30 range in the next major move, with a possible pause near $0.60 before a final push above $1.60. However, the analyst refrains from setting specific timelines, emphasizing that the price roadmap is more important than short-term predictions.
At the time of writing, Dogecoin is trading at $0.1634, up 17% from its recent low. This move aligns with broader market optimism, as other analysts have also noted DOGE’s strong performance and increased trading volumes in recent weeks . Some forecasts suggest that if DOGE maintains momentum above key support levels, it could challenge the $0.30 mark in the coming months .
Risks and Cautions
Despite the bullish technical setup, analysts caution that meme coins like Dogecoin are inherently volatile and susceptible to sudden swings. The nested wave count could fail if the price drops below the recent support, and periods of sideways or “choppy” trading are still possible. As always, the next decisive move will depend on broader market sentiment and liquidity conditions.
Conclusion
Dogecoin’s current technical structure and renewed demand suggest the potential for further gains, but investors should remain aware of the risks associated with high-volatility assets. As long as DOGE holds above its key support levels, the bullish thesis remains intact, but the market will ultimately determine the next direction.
