On the brink of a new bull run, Dogecoin is targeting a trendline breakout for a 25% rally to $0.4155.
With the crypto market gearing up for a 2025 bull run, meme coins are making a comeback. The market cap of meme coins has reached $93.24 billion after a brief visit to the $87 billion level.
Currently trading at $0.3312, Dogecoin is in a prime position for a breakout opportunity, with its market cap at $48.91 billion.
Traders Stay Cautious as Dogecoin Open Interest Nears $4B
As Dogecoin stands at the edge of a potential breakout, traders are watching closely. The open interest for Dogecoin has seen a modest 0.29% increase, reaching $3.98 billion.
The long-to-short ratio remains near 0.95, indicating a greater number of bearish positions. However, the funding rate of 0.0076% suggests that traders are holding long positions, showing confidence in the potential upside.
Dogecoin Derivatives
Dogecoin Faces Breakout Point, Bulls Eye $0.4155
With a potential recovery at play, Dogecoin is testing a local resistance trendline. Along with the trendline, Dogecoin also puts pressure over the 38.20% Fibonacci level near the $0.33 mark.
The growing underlying support hints at a potential breakout as it bounces off from the 23.60% Fibonacci level near the $0.30 psychological zone. However, the 24-hour trading volumes show no notable uptick, holding at $1.94 billion.
Along with stable trading volumes, the accumulation/distribution indicator has surged to $17.59 billion, signaling increased buying activity.
Although the indicator has largely stayed flat, it has risen significantly from $16.9 billion during the January 13 pullback when Dogecoin briefly dropped to $0.30.
DOGE Price Targets
With a significant surge in accumulation, the underlying support for Dogecoin is significantly growing. Hence, a four-hour closing above the local resistance trendline will likely propel Dogecoin to a crucial resistance at the 78.60% Fibonacci level.
Notably, the crucial resistance aligns with the $0.4155 price, highlighting an upside potential of 25% for DOGE. On the flip side, the $0.30 psychological mark remains the crucial support level.
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