Dogecoin (DOGE) tests the lower limit of a long-term triangle pattern, a move that could determine the next major price direction. A new technical analysis highlights a roadmap of key recovery levels and outlines a potential time frame in which selling and profit-taking could become favorable.
Dogecoin Triangle Pattern Signals Recovery Path
In a recent X-post, crypto analyst Jonathan Carter said presented a new analysis of Dogecoin’s price action that predicts that a potential recovery may be imminent. Carter explained that Dogecoin is currently testing a critical support area around $0.135 on a long-term basis descending triangular card structure. The setup unfolds over a period of three days, with the price action remaining above the lower limit of the pattern. This zone has become a major battleground between buyers and sellers.
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Carter emphasizes that the continued support area offers a favorable risk-reward profile for market participants. Buyers who intervene at this level are trying to avoid a collapse that could wipe out broader recovery prospects. This means remain above this support zone could keep Dogecoin’s bullish scenario intact.
The descending triangle visible on the analyst’s shared chart is visible a series of lower highs pressure against the stable support zone at $0.135. This compression often precedes a decisive move as soon as the price reacts strongly at the base. Dogecoin’s current structure also suggests that the market is steadily approaching that turning point.
The volume data at the bottom of the chart does not yet show strong expansion near the support area. This indicates that Dogecoin trading activity has been relatively subduedThis suggests that the market may be waiting for confirmation before making a significant upward move.
If Dogecoin successfully recovers from the $0.135 support zone, Carter’s chart maps several upside levels to keep an eye on. The initial recovery targets are around $0.155 and $0.190, where previous price reactions occurred. Lifting these levels would signal growing momentum and a possible end to the crisis DOGE’s downward trend.
Further upside extensions projected on the chart include USD 0.250 and USD 0.310, which aligns with previous areas of consolidation. A stronger continuation could open the path towards USD 0.370 and ultimately the resistance zone near USD 0.470.
Resistance Zone reveals when to sell DOGE
Carter’s Dogecoin chart clearly shows the resistance zone at $0.47, where sellers are expected to become active again. A rally in the zone would likely increase sales pressure based on historical price behavior. As a result, the resistance region serves as one strategic level for profit taking instead of for new entries in Dogecoin.
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Overall, Carter’s analysis suggests that Dogecoin’s price is at a crucial technical level that could shape its next big move. The price of the meme coin has currently fallencrashed by more than 22% this year, according to CoinMarketCap. Despite this misstep, Carter remains optimistic about DOGE’s recovery trajectory. The recovery timeline highlighted in the analysis suggests that the meme coin may have emerged from its recession by 2026.
Featured image from Unsplash, chart from TradingView