Dogecoin has staged a powerful rally, gaining nearly 40% in just seven days, far outperforming the wider cryptocurrency market, which rose around 8% in the same timeframe. The price of DOGE now sits close to $0.296, up from $0.21 earlier this month, as traders point to strong technical and onchain signals suggesting further growth. Bullish Technical Breakout On the weekly chart, Dogecoin has broken out of a multimonth symmetrical triangle, a continuation pattern that typically signals further upside. Trading volumes surged during the breakout, more than tripling compared to average levels, indicating strong momentum behind the move. Chart projections suggest Dogecoin could rise as high as $0.60, a gain of about 95% from current levels, by October. Some analysts, including CryptoKing and CryptoGoos, have issued more conservative targets near $0.45, which aligns with resistance from a broader multiyear triangle. Key Support Levels to Watch Dogecoin’s relative strength index (RSI) remains below the overbought threshold of 70, giving bulls further room to push higher. Still, traders warn that DOGE must hold above its 50-week exponential moving average, currently near $0.227, to sustain the bullish setup. A decisive drop below this level could trigger a deeper correction toward the 200-week EMA around $0.215. Signs of More Growth Potential Beyond technical patterns, onchain indicators point to additional upside. Dogecoin’s MVRV Z-Score, which measures whether an asset is over- or undervalued compared to historical holder costs, currently sits at 1.35. In past cycles, similar readings have preceded major rallies, including last November’s 230% surge. By contrast, extreme highs — such as the Z-Score exceeding 20 during DOGE’s all-time peak near $0.70 in 2021 — signaled overheated conditions. The modest current reading suggests that investors are not sitting on excessive unrealized profits, leaving more room for price appreciation. Can Dogecoin Repeat Historic Rallies? With momentum building, comparisons are being made to past explosive moves, particularly last year’s triple-digit surge. Analysts say the current setup leaves open the possibility of another significant rally if key supports hold and broader crypto sentiment remains positive. While risks remain — including sudden market corrections and broader macroeconomic factors — Dogecoin’s breakout has strengthened the case for further gains in the coming weeks.
