- Dogecoin is showing signs of a potential breakout as whale accumulation and active addresses reach multi-month highs.
- If DOGE holds above its 200-week EMA at $0.136, it could rally toward the $0.22 resistance level.
Dogecoin (DOGE) is showing strong signs of a potential rally, backed by key on-chain metrics and technical support. The meme coin currently hovers around $0.168 after bouncing off its 200-week Exponential Moving Average (EMA), suggesting that bullish momentum may be building.
On-Chain Data Points to Growing Strength
Dogecoin, like other meme coins, has faced significant price corrections during the broader crypto market retracement over the past two months. However, according to Santiment data, whale wallets holding at least 1 million DOGE have increased by 1.24% since early February. Additionally, active Dogecoin addresses have surged to a 4-month high, surpassing 150,000. These signals suggest rising investor confidence and a potential breakout in the near future.
Dogecoin Price Outlook: Bulls Eye $0.22 If Support Holds
The recent bounce off the 200-week EMA at $0.136 has provided a strong foundation for DOGE’s price stability. If the 200-week EMA continues to act as a key support level and DOGE manages to close above the $0.181 weekly resistance, it could trigger a rally toward the next significant price level of $0.220.
Moreover, the weekly Relative Strength Index (RSI) is flattening just below its neutral 50 level, indicating that bearish pressure is weakening. This opens the possibility of a renewed upward push as market conditions stabilize.
Bearish Scenario: Key Support to Watch
While the bullish outlook remains intact for now, a weekly close below $0.136 could invalidate the upward momentum. If DOGE loses its 200-week EMA support, it may trigger further downside pressure, potentially leading to a decline toward the next key support at $0.078.
Dogecoin’s rising whale activity, increasing utility, and strong technical support at the 200-week EMA suggest that a rally could be on the horizon. However, for DOGE to extend its gains toward $0.22, it must hold above $0.136 and break past the $0.181 resistance level. Investors should keep an eye on weekly closes and broader market sentiment to confirm the next move.
