- Dogecoin surged 46% after breaking a two-month range, with whale accumulation signaling strong bullish sentiment.
- A short-term pullback toward $0.204–$0.222 may occur before the next potential leg upward.
Dogecoin [DOGE] has been riding a wave of bullish momentum, surging by 46% between May 8th and May 10th in a move that has reinvigorated investor sentiment. After months of sideways movement, the memecoin decisively broke out of a two-month range — but the key question remains: can DOGE keep climbing, or is a cooldown looming?
At the time of writing, DOGE has pulled back 7% from its local high of $0.25, trading around $0.233. This retracement, while notable, hasn’t yet shaken bullish conviction. In fact, on-chain data reveals that whales accumulated 600 million DOGE (worth $140 million) during this rally, signaling confidence in further upside potential.
Breaking Resistance and Building Momentum
Dogecoin’s breakout came after weeks of consolidation between $0.142 and $0.195. This rally not only pierced through the range high but also surpassed the 78.6% Fibonacci retracement level drawn from the November 2024 rally — a key technical milestone.
The Chaikin Money Flow (CMF) indicator currently reads +0.18, underlining strong capital inflows. Trading volume has also spiked significantly, further reinforcing the bullish structure.
Also read: PENGU Price Alert: Whale Buys Spark Breakout Hopes Amid Bearish Bets
Short-Term Retracement or Setup for Next Leg?
On the lower timeframe, technical indicators point to a possible short-term pullback. The Money Flow Index (MFI) showed bearish divergence just before the recent retracement, though it has since reset to neutral levels. This suggests that DOGE may find strong support between $0.204 and $0.222 — a zone aligned with both liquidity clusters and Fibonacci retracement levels.
Meanwhile, Coinglass’ liquidation heatmap shows built-up liquidity around $0.225 and $0.238 — making them potential targets in the coming days.
What’s Next for DOGE?
With whale accumulation, healthy trading volume, and clear bullish structure, Dogecoin appears poised for another move higher. However, traders should watch the $0.222-$0.204 region closely — a bounce here could set the stage for a fresh rally. A dip below may invalidate the short-term bullish outlook, but for now, DOGE still has room to run.
This article is for informational purposes only and does not constitute financial advice.