Date: Wed, March 19, 2025 | 07:30 AM GMT

Dogecoin (DOGE) has experienced a significant downturn since its November 2024 peak of $0.48 (reached December 8th), currently trading at $0.16 after a 53% correction over the past 90 days.

Source: Coinmarketcap

Despite this decline, recent indicators suggest a potential bullish reversal. A surge in active addresses and key technical patterns point towards a possible upward trend.

Surge in Active Addresses

Following the price correction, investor activity has increased significantly. Crypto analyst Ali Martinez reports a surge in active addresses, exceeding 280,000 and reaching 282,513.

Source: @ali_charts (X)

This heightened activity suggests investors see the current price as a buying opportunity. Historically, such increases in network activity have preceded substantial price movements.

Key Technical Pattern

Analyst @_CryptoSurf's analysis reveals DOGE has reached a critical support level, coinciding with both the 100-week and 200-week moving averages. This confluence is a significant technical event often signaling a trend shift.

Source: @_CryptoSurf (X)

A similar crossover in 2021 preceded a historic bull run, resulting in an over 8,800% price increase to an all-time high of $0.73 in May 2021. If history repeats, DOGE could potentially reach resistance levels of $0.22 and $0.30.

Conclusion

While DOGE has undergone a substantial correction, on-chain metrics and technical analysis suggest a potential bottom formation. Sustained support at the 200-week moving average could reignite upward momentum. The current crossover of the 100-week and 200-week moving averages hints at a possible parabolic rally, mirroring the 2021 event. However, caution is advised; investors should await confirmation through increased trading volume and clear breakout patterns before making significant investments.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct thorough research before investing in cryptocurrencies.