- DOGE breaks descending resistance, indicating bullish momentum.
- Futures open interest nears $2B, showing increased trader activity.
Dogecoin ($DOGE) has broken out of a long-term downtrend, capturing fresh attention from crypto traders. Popular analyst Sheldon The Sniper noted that Dogecoin has officially broken above its descending resistance line on the weekly chart.
This line had been in place since December 2023, marking consistently lower highs and sustained bearish momentum. The latest weekly green candle pierces this trendline, signaling a potential shift in direction.
Previous breakouts of this kind for DOGE have preceded price rallies, typically supported by speculative momentum and retail interest. The breakout has triggered renewed optimism across the crypto community.
At the time of analysis, DOGE was trading near $0.17, with short-term targets set around $0.22 and $0.30.
Price Rebounds With Building Bullish Structure
DOGE has rebounded sharply and is now trading around $0.206, up 3.79% on the day. The price action reflects a short-term bullish trend, with higher lows forming and the price staying inside the upper range of Bollinger Bands.
Momentum indicators support this upward movement. The MACD has tilted slightly positive, and the RSI currently stands at 67.49, indicating increased buying pressure without entering overbought territory.
Analysts suggest that a break above the $0.21–$0.22 resistance area in the coming weeks could open a path toward the $0.30–$0.35 range.
Futures Open Interest Surges With Market Activity
Meanwhile, Coinglass’s recent data shows that Dogecoin’s future open interest has risen significantly, approaching levels not seen since early 2024. The increase in open interest is tracking alongside price recovery, suggesting growing speculation among derivatives traders.
Similar spikes in open interest previously occurred during periods of major price movement, including in May 2021 and December 2023.
With DOGE trading above $0.20 and total open interest nearing $2 billion, market watchers are preparing for possible high-volatility moves. Analysts say this pattern reflects a shift in sentiment and increased trader engagement in the meme coin space.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
