Dogecoin Hits $0.17 Resistance Level Amid Network Growth

Dogecoin has reached the $0.17 resistance level as network expansion records 34,600 new addresses. Will this recovery drive the DOGE price to $0.59?

With the broader market’s minor recovery, the valuation of meme coins has risen to $46.86 billion. Among the beneficiaries is Dogecoin, which remains stable above $0.15, seeing a 3.22% increase in the past 24 hours.

Despite experiencing a sharp 22% pullback over the past week, the recent short-term recovery suggests a potential comeback rally for Dogecoin.

Dogecoin Teases Consolidation Under $0.17

In the daily chart, Dogecoin’s price trend shows a quick rejection at lower levels. The bullish comeback from a swing low of $0.1427 highlights strong bullish dominance near the $0.15 psychological mark.

With two consecutive bullish candles, Dogecoin is trading at a market price of $0.1666, with an intraday pullback of 3.35%. This pullback threatens to negate the 4.84% increase seen yesterday. Amid declining trends, the daily RSI fluctuates near oversold levels.

Dogecoin Price Chart

Additionally, the price drop has led to a death cross between the 50-day and 200-day EMA lines. Increased volatility between strong horizontal levels suggests a potential consolidation range, with resistance at $0.17394 and crucial support at $0.1402.

Analyst Targets New Swing High at $0.59

Amid rising expectations for a bullish recovery, crypto analyst Ali Martinez has identified several bullish possibilities for Dogecoin. He notes a potential bullish reversal indicated by a Doji candle on the weekly chart. Doji candles are known for signaling reversals in prevailing trends.

Martinez highlights a rising channel pattern on the weekly chart, suggesting that Dogecoin is testing a crucial support level near the baseline of the channel. The meme coin may be poised for a bullish rally, supported by multiple factors along with the weekly Doji candle. He projects a rebound toward the channel’s mid or upper boundary, setting a price target near $0.5695.

> $DOGE remains at a key support level within this channel. If it holds, a rebound toward the mid or upper boundary could occur!

Additionally, Martinez points out the significant growth in the Dogecoin network: the number of new DOGE addresses has nearly doubled in the last month, jumping from 16,400 to 34,600 new addresses.