DOGE Breaks Triangle Pattern, Analyst Warns of Next Leg Down

TL;DR

• Dogecoin breaks triangle formation, analyst warns price could fall toward $0.17 Fibonacci support level.
• Bitcoinsensus projects the next wave rally could send DOGE between $1.00 and $1.40 long-term.
• Futures open interest steady at $3.32B, while options trading surged as traders prepare positions.

Breakdown From Triangle Formation

Dogecoin (DOGE) has moved below a symmetrical triangle formation after weeks of sideways action. The move was flagged by market analyst Ali Martinez, who suggested the breakdown could pressure prices lower in the short term.

https://twitter.com/ali_charts/status/1962976071017517129?ref_src=twsrc%5Etfw” data-wpel-link=”external” target=”_blank” rel=”nofollow noopener

The chart points to resistance near $0.22, while immediate supports are located at $0.20 and $0.19. If the bearish move continues, the next target sits at $0.17, a level that matches the 1.272 Fibonacci extension. According to the analyst,

“Dogecoin $DOGE breaks out of a triangle, targets $0.17!”

At the time of writing, DOGE was valued at around $0.22 with a 24-hour trading volume of $1.95 billion. The token has gained 1% in the past day, though it has slipped 3% over the week.

Opposing Outlooks From Market Analysts

While one view suggests a move toward $0.17, another long-term chart shared by Bitcoinsensus shows a potential rally. On the weekly timeframe, DOGE continues to track within a logarithmic uptrend channel.

Notably, the chart highlights a +290% surge from $0.08 to $0.23, followed by a +440% rise to $0.50. Based on this pattern, the next impulsive wave could lift prices between $1.00 and $1.40. The post noted,

“This next wave could potentially lead to prices as high as $1.40.”

DOGE is consolidating near $0.217 and has been forming higher lows that keep the long-term channel intact. Analysts view this as the base for a larger move, though short-term signals remain mixed.

Whale Activity and Futures Market

On-chain observations show whales are currently inactive. As Martinez stated,

“Dogecoin $DOGE whales are staying on the sidelines. No major buying or selling pressure detected!”

Data from Coinglass adds further detail. Open interest in DOGE futures rose slightly by 1% to $3.32 billion, suggesting steady trader participation. At the same time, daily trading volume fell 14% to $5.05 billion, showing lighter participation.

Options activity has surged, with volume climbing 1,057% to $1.86K, while open interest increased 132% to $2.76M. These shifts suggest traders are positioning for the next move as DOGE stabilizes near support.

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