Waiting for Dogecoin (DOGE) Breakout? Here's When It Can Happen

Cover image via U.Today

Dogecoin (DOGE) is nearing a pivotal resistance level at $0.11, a level holding approximately 31 billion DOGE across 23,400 addresses. A breakout from this resistance could mark a significant bullish move, as on-chain signals indicate bullish sentiment.

Dogecoin has been trading within a narrow range between $0.09 and $0.11 for the past few months. Currently trading at $0.10, it must break above $0.11 to confirm a breakout. The large volume of addresses holding DOGE at this price point highlights its significance.

A successful breakout could lead to a surge in demand and push DOGE towards subsequent resistance levels at $0.12 and $0.13. On-chain data shows that 71% of DOGE holders are in profit, with only 27% out of the money. Strong exchange signals also indicate bullishness, with a positive smart price spread and bid-ask volume imbalance.

The concentration of large holders, at 62%, suggests that whales remain optimistic about Dogecoin's potential despite a decline in large transactions. For traders, maintaining prices above $0.11 is crucial.

If DOGE breaks resistance, a rally towards $0.12 and beyond is feasible. However, failure to break resistance may lead to continued sideways movement or a retest of support at $0.09.