Dogecoin’s price shows bullish signs as it recently breached a month-old resistance barrier.
Transaction data shows that a minor uptrend to $0.150 seems plausible.
A four-hour candlestick close below $0.106 will create a lower low and invalidate the bullish thesis for DOGE.
Dogecoin price has shattered the downtrend in a recent run-up and shows signs that more of these gains are around the corner. Although DOGE is facing temporary slowdowns, investors can expect bulls to make a strong comeback soon.
Dogecoin price breaks out for more gains
Dogecoin price formed a string of lower highs as it shed roughly 40% in the last 40 days. These swing points can be connected using trend lines; this downward-facing trend line has prevented DOGE from rising.
However, on March 18, DOGE saw a massive surge in buying pressure resulting in a breakout. Since then Dogecoin price has retraced but still maintains its bullishness. Therefore, investors can expect the meme coin to continue its uptrend.
The dog-themed crypto will face the $0.140 hurdle first but clearing it will allow Dogecoin price to retest the $0.150 barrier. In total, this move would constitute a 27% ascent from the current position – $0.120.
Supporting the bullish outlook for Dogecoin price is IntoTheBlock’s Global In/Out of the Money (GIOM) model. This index shows that the next resistance cluster is relatively strong and extends from $0.126 to $0.155.
Here, roughly 250,000 addresses that purchased roughly 25.15 billion DOGE tokens are “Out of the Money.“ Therefore, a move into this cluster will likely result in selling pressure from these underwater investors.
Hence, market participants can expect DOGE to pierce this area and set a local top in the range mentioned above.