- Dogecoin flashes TD Sequential buy signal, signaling a possible rebound from the $0.20 support.
- Analysts track resistance at $0.216, $0.222, and $0.244, with $0.30 as the next target zone.
- Long-term charts show a cup-and-handle pattern, projecting DOGE toward $0.82 and even $2.18.
Dogecoin is showing early signs of recovery after a sharp 10% decline brought prices near the $0.20 level. The popular meme coin, currently trading at $0.2191, has drawn attention from analysts pointing to a potential reversal supported by technical indicators and long-term chart formations.
TD Sequential buy signal sparks optimism
According to analysis prepared by @ali_charts on X, the TD Sequential indicator flashed a buy signal on Dogecoin’s chart. This signal typically appears after nine consecutive bearish candles, often suggesting that downward momentum may be nearing exhaustion. Ali noted that this setup could mark the beginning of a short-term bounce.
The indicator aligns with DOGE’s ability to hold support at $0.20 despite heavy selling pressure last week. If this signal proves accurate, the coin could test resistance levels at $0.216, $0.222, and $0.244 in the coming sessions. Sustained momentum above these thresholds may open the path toward the $0.30 zone.
Broader technical patterns point to higher targets
Beyond the short-term chart, analysts have also identified larger bullish structures. According to an observation by Trader Tardigrade on X, Dogecoin’s two-month chart shows a massive cup-and-handle formation. This setup carries targets of $0.82 and $2.18, though such moves would likely unfold over a longer timeframe.
Market analyst CryptoInsightuk added that DOGE has been compressing within a range while the Relative Strength Index also compresses. He stated, “If DOGE can find the strength to break this range in the coming days, we should continue above the local highs, making our target for the next leg at least $0.4 ish.”
Dogecoin’s position near strong support, combined with technical buy signals and bullish long-term patterns, suggests that the coin is preparing for renewed upward momentum. Traders are watching closely to see if the $0.20 level continues to act as a foundation for recovery.
