- Dogecoin’s bullish momentum remains intact, with the 5-day RSI crossover signaling a potential breakout to $0.30 if Bitcoin holds steady above $104K.
- Despite a recent 5.8% pullback, DOGE’s price continues to stay supported above $0.225, indicating further upside potential.
Dogecoin (DOGE) price action has recently exhibited notable strength, even amid a minor correction. After a brief 5.8% pullback from $0.25 on May 11, the meme coin has continued to hold its bullish momentum, largely thanks to a positive signal from the 5-day Relative Strength Index (RSI) crossover that occurred on May 7. This suggests that despite short-term volatility, DOGE is poised for a potential breakout to $0.30.
Dogecoin Price Shows Resilience Above $0.225
Following a brief dip, Dogecoin remains supported above the $0.225 level, preserving its bullish trajectory. Investors have been cautious due to broader market sentiment, with Bitcoin’s price movements playing a key role in shaping DOGE’s direction. Bitcoin’s ability to maintain stability above $104K is critical for sustaining upward momentum in the altcoin market. If Bitcoin consolidates or gains further, Dogecoin could resume its upward journey, targeting the $0.30 mark.
Despite a recent 5.8% correction, which followed a three-day streak of double-digit gains, DOGE’s RSI crossover remains intact. The RSI, which measures momentum, is currently at 71, signaling continued bullish pressure. Furthermore, the RSI crossover indicates a shift in market sentiment, often preceding an upward trend.
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Whale Activity and Market Sentiment
Notably, large whale movements are also providing key insights into DOGE‘s price trajectory. A recent transfer of $148 million in Dogecoin highlights the ongoing interest from significant investors. While market sentiment briefly cooled due to geopolitical concerns and profit-taking, there remains a solid foundation for future growth if risk appetite returns. The shift in derivatives sentiment, marked by a 7.3% drop in DOGE’s open interest, also suggests that investors are trimming positions amid short-term uncertainty.
What’s Next for Dogecoin?
Looking ahead, the focus is on Bitcoin’s direction and the broader market environment. If Bitcoin maintains its support above $104K, DOGE’s bullish momentum could push it toward $0.30. However, if Bitcoin fails to hold above $100K, further corrections in Dogecoin are likely, with $0.225 remaining a key level to watch. For those looking to capitalize on Dogecoin’s momentum, the 5-day RSI crossover continues to suggest a favorable outlook, provided support levels hold and Bitcoin’s market performance stabilizes.
