Dogecoin Poised for a Breakout? Technical Outlook for May 22, 2025

After a sharp correction, Dogecoin shows clear signs of recovery. Discover our comprehensive analysis and the current technical outlook on DOGE.

Technical Analysis of Dogecoin (DOGE)

Spot Price	≈ $0.24	The price is currently in a consolidation phase.
Recent Weekly Changes	≈ +0.56%	A technical pause is underway after a significant upward move, suggesting a market breathing phase.
Weekly Spot Volumes	≈ 6.57 B (+32%)	Activity is intensifying strongly, signaling a more marked market engagement.
Long-Term Trend	Bullish	The structure is evolving consistently while maintaining a clear upward direction.
Medium-Term Trend	Bullish	The upward movement continues at a steady pace, supported by a confirmed recovery.
Short-Term Trend	Bullish	Price action maintains strong bullish momentum, driven by persistent buying pressure.
Momentum	Recovery	After a phase of weakening, momentum is gradually picking up again.

The DOGE price trades around $0.24, a key level where the market frequently reacts. After a strong rise, the weekly change stabilizes at +0.56%, suggesting a technical pause. Weekly spot volumes reach 6.57B, up 32%, reflecting a significant renewed interest. The trend remains bullish across all timeframes: the long-term progresses steadily, the medium-term shows clear acceleration, and the short-term maintains a sustained pace. Momentum, after weakening, is gradually recovering, confirming an ongoing rebound.

Technical Levels of Dogecoin (DOGE)

Resistances	$0.26 / $0.29 / $0.31 / $0.43	Potential distribution zones; surpassing them would open the way for an upward extension.
Supports	$0.21 / $0.16 / $0.15 / $0.13	Historical demand zones; breaching them would expose to risk of further decline.
Monthly Pivot Point	$0.16	Reference level for the month’s trend.
High Value Area	$0.39	High volume area; upper bound of market equilibrium, beyond which imbalance may emerge.
Low Value Area	$0.17	High volume area; lower bound of market equilibrium, beyond which imbalance may emerge.

Dogecoin trades between several key technical levels. Resistances located at $0.26, $0.29, $0.31, and $0.43 represent potential distribution zones, whose breakout could trigger a bullish continuation. Conversely, supports at $0.21, $0.16, $0.15, and $0.13 correspond to historical demand zones; their breach would expose the market to extended downside risk. The monthly pivot at $0.16 serves as a reference level to evaluate the underlying trend. Finally, the high value area at $0.39 and the low value area at $0.17 delimit a market balance whose exit could signal a return of volatility.

The current technical analysis was conducted in collaboration with Elyfe, and 0xhugzer, investors and educators in the cryptocurrency market.

Derivatives Analysis (DOGE/USDT)

Open Interest	Rising	Increase in open positions, a sign of growing market interest.
CVD	Selling absorption	CVD declines, but price remains stable, indicating buying resistance against selling pressure.
Liquidation	Low, on long side	Overall low liquidations, but more on the buyer side, consistent with slight selling pressure.
Funding Rate	Slightly positive	Minor bullish bias, moderate premium for long positions.

Market data show an increase in open interest, reflecting renewed participant engagement. The declining CVD, coupled with rising prices, suggests effective absorption of selling pressure by passive buyers. Liquidations remain low, with a slightly marked bias towards long positions, consistent with moderate but present selling pressure. Finally, a slightly positive funding rate reflects a minor advantage given to long positions, indicating a measured bullish sentiment.

Indicator	Status	Comment
Seller Liquidation Zone	≈ $0.248 – $0.251 / $0.254 / $0.264 – $0.267	Order concentration zone; reaching these levels could trigger increased volatility.
Buyer Liquidation Zone	≈ $0.201 – $0.199 / $0.19 / $0.18 – $0.173 / $0.164 – $0.154	Order concentration zone; reaching these levels could trigger increased volatility.

The DOGE price hovers around $0.24, a key level frequently reacted to by the market. After a strong rise, the weekly change limits at +0.56%, reflecting a consolidation phase. Weekly spot volumes reach 6.57B, increasing 32%, signaling growing participation. The trend remains bullish across all timeframes: long-term is stable and oriented; medium-term shows acceleration; short-term buying pressure remains strong. Momentum is recovering with a gradual restart after a weakening phase. Several liquidation zones are identified: on the seller side between $0.248 and $0.267, and on the buyer side between $0.201 and $0.154; reaching these levels could lead to a sudden surge in volatility.

Forecasts for Dogecoin (DOGE) Price

Bullish scenario:

• Conditions: Stay above $0.21.
• Targets: $0.26 / $0.29 / $0.43 and beyond.
• Potential: Approximately +79% from the current level.

Bearish scenario:

• Conditions: Break below $0.21 support.
• Targets: $0.16 / $0.15 / $0.13.
• Potential: Decline up to -46% from the current level.

Comment:

The bias remains bullish, but US macroeconomic indicators and news related to the global geopolitical context will be decisive to confirm this scenario.

Conclusion

Dogecoin is in a consolidation phase after a strong rise. The trend remains bullish across all horizons, with increasing activity and renewed market momentum. Key levels frame the price, and a breakout could lead to strong volatility. Sentiment remains positive, but caution is warranted given the overall economic context. In this environment, it will be essential to closely monitor price reactions at strategic levels to confirm or adjust current forecasts.

Finally, remember that these analyses are based solely on technical criteria, and cryptocurrency prices can change quickly based on other more fundamental factors.

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