Dogecoin (DOGE) Set for Potential Breakout with 200% Surge Targeting $0.22 if Wedge Holds, Analyst Predicts

• Dogecoin’s Falling Wedge pattern hints at a breakout, with a potential price surge to $0.22 or more if successful.
• Bearish signals persist, with $DOGE trading below key moving averages, facing resistance near $0.104-$0.119 levels.
• Key support at $0.083 remains critical, a breakdown could send Dogecoin to lower levels, targeting $0.075 or even lower ranges.

According to crypto analyst JavonTM1 on X, Dogecoin ($DOGE) is showing signs of a multi-month Falling Wedge breakout, which could signal a major price increase. The analyst predicts that if this pattern holds, Dogecoin could potentially more than double in value, reaching the $0.22 range. Notably, JavonTM1 also maintains a larger target of $0.6533, highlighting the bullish potential that may arise if the breakout is successful.

Descending Triangle and Key Support Levels

Dogecoin’s price action is currently in a descending triangle pattern, characterized by lower highs and a steady support level between $0.055 and $0.060. This structure indicates that selling pressure has persisted over time, with buyers stepping in at the support level to keep prices from falling further. 

The resistance line connecting the lower highs has formed since April, creating a downward trend. If Dogecoin manages to break through this resistance, traders could see a reversal and a rise toward the next key levels around $0.12 to $0.15. Failure to maintain the support level around $0.055 may lead to bearish continuation, with prices potentially heading down to the $0.03-$0.04 range.

Price Trends and Moving Averages

Recent market trends show the persistence of bearish momentum, with Dogecoin’s price staying below both the 50-period and 200-period moving averages (MA50 and MA200). A death cross, where the short-term MA50 falls below the longer-term MA200, appeared in early August 2024, signaling potential downward pressure. This crossover further supports the bearish sentiment, with prices unable to break above these key moving averages.

At press time, Dogecoin was trading at $0.1035 up by 7.41% in the past 24 hours, with the market facing resistance around the $0.104-$0.119 range. The lack of a golden cross, where the MA50 would cross above the MA200, shows that buying pressure remains weak. However, breaking above these levels could shift the trend and move Dogecoin toward higher price targets.

Support and Resistance Levels Remain Critical

As Dogecoin trades near support, the $0.083 level has emerged as a critical zone that has held up under multiple tests. If Dogecoin continues its downtrend and fails to break above $0.104-$0.119, further declines toward the $0.075 support could occur.

On the other hand, a break above the moving averages could lead to a bullish reversal and push prices toward higher resistance zones, notably in the $0.12-$0.15 range.