- DOGE breaks out of a bull pennant, setting sights on a $0.31 price target per analyst Ali Martinez.
- Technical indicators like MACD and moving averages show bullish signals amid stable RSI levels.
- Whale accumulation and rising active addresses support strong investor interest and market activity.
Dogecoin (DOGE) is drawing attention after breaking out of a bullish pennant pattern, pointing to a potential price target of $0.31. According to analysis by trader Ali Martinez via X, this breakout could mark the continuation of DOGE’s current uptrend. As of May 22, the coin is trading around $0.24, reflecting rising investor confidence.
Technical Structure Supports Uptrend
From the TradingView charts, it seems DOGE has successfully broken out of a bull pennant pattern. This chart formation often appears after a strong upward move, followed by a period of consolidation. When the price breaks above the pennant’s resistance, it typically resumes the previous trend.
Ali Martinez shared the observation on X, stating, “Dogecoin appears to be breaking out of a bull pennant, which suggests a target of $0.31.” This technical target aligns with previous price ranges where DOGE faced resistance in 2021 and early 2022.
Moreover, multiple indicators are currently leaning bullish. The 50-day and 200-day moving averages are flashing buy signals, and the MACD recently formed a bullish crossover. The RSI remains neutral at around 55, suggesting that there is still room for upward momentum without the asset being overbought.
Investor Activity and On-Chain Data
On-chain data shows increased whale accumulation, with over 1 billion DOGE acquired in recent weeks. According to Coinglass, open interest in DOGE derivatives surged by 58% to reach $3 billion, indicating rising speculative interest. About 71% of Binance DOGE futures traders are currently holding long positions.
The number of daily active DOGE addresses also spiked, peaking at over 469,000 on May 13. Data from IntoTheBlock revealed a 41% increase in large transactions, showing that high-net-worth holders are becoming more active.
DOGE has also reclaimed its 20-week simple moving average, a level often monitored by long-term investors. According to @Cantonmeow on X, “Wave trend oscillator continues to be bullish,” reinforcing the breakout narrative.
