Dogecoin (DOGE) has been facing a tough week, trading below major resistance levels and showing signs of market pressure. But according to some analysts, this might be the calm before a major storm — a bullish one.
Dogecoin Struggles to Break Resistance
At the time of writing, Dogecoin is trading at $0.1567, showing a slight 0.37% dip in the past 24 hours and a 2.06% drop over the past week as per Coinpedia Market data.
Despite multiple attempts to break through the $0.16 resistance level, DOGE has struggled. The price recently fell to a low of $0.151 before bouncing back slightly.
For a more detailed Dogecoin price prediction 2030, check out our full analysis!
A Possible 40% Drop Before a 400% Pump?
One analysis gaining attention on TradingView — shared by SwallowAcademy — suggests that Dogecoin may need to fall further before it takes off. The analyst notes that DOGE could dip nearly 40% to around $0.09, forming a solid support level.
Looking at DOGE’s previous price action, the chart shows a similar setup back in late 2024. After falling to $0.09, the coin rebounded and surged to over $0.45 — a gain of more than 400%.
SwallowAcademy predicts a similar move could happen in 2025: a drop to $0.09, followed by a rally to $0.45. For now, the analyst is waiting for that dip to complete the setup.
False Break Could Signal a Bullish Reversal
Another analyst, Trader Tardigrade, has spotted a different pattern: what appears to be a “false break” in Dogecoin’s recent downtrend. The coin has been forming lower highs and lower lows since December 2024 — a typical bearish sign.
However, after dropping to $0.13 on April 7, DOGE briefly rebounded but then dipped again. According to the analyst, this was a false breakdown — a move that tricks the market into thinking a bigger drop is coming, only for the price to reverse.
If this is correct, it could mean DOGE is getting ready to move upward. Trader Tardigrade sees $0.42 as a possible target in the near future.
User Activity Shows Mixed Sentiment
Looking at on-chain data from IntoTheBlock, the activity among Dogecoin holders paints a mixed picture.
- Long-term holders (holding 1+ years) dropped by 2.67% in the past month.
- Cruisers (holding 1–12 months) fell by 11.81%.
- Short-term traders (holding under a month) jumped by a whopping 107.45%.
This spike in short-term activity suggests more traders are speculating on price moves, which could lead to increased volatility in the short run.
Big Players Are Quietly Accumulating
Despite the short-term uncertainty, large holders seem to be bullish. Inflows from these big wallets are on the rise:
- Up 5.33% in the past week
- Up 323.86% over the last 30 days
- And a massive 3,722% surge over the last 90 days
This suggests that while retail traders are flipping coins quickly, larger investors may be quietly preparing for a bigger move.
Dogecoin might be in for more downside in the short term, but analysts and whale activity hint at the potential for a strong rebound. Keep an eye on the $0.09 level — that could be the launchpad for DOGE’s next major rally.