Dogecoin Eyes $0.30: Can Bulls Overcome Market Fear?

As the meme coin industry struggles to gain momentum during the broader market uncertainty, Dogecoin is hinting at a potential comeback. While the Fear and Greed Crypto Index stands at 35 in the fear region, the meme coin market cap is under $70 billion.

Amid such pressure, Dogecoin trades at a psychological level of $0.25 with a minor recovery of 1.18%. Is this short recovery enough to propel the DOGE price to a breakout rally and revisit the $0.30 mark? Let’s find out.

Falling Channel Pattern: DOGE Bulls Face Resistance

In the one-hour time frame, the Dogecoin price action reveals a falling channel pattern at play. Within the falling channel pattern, the DOGE price is within a positive cycle, aiming to challenge the overhead trendline.

However, the bull run is facing opposition from the 50% Fibonacci level near $0.25331. Nevertheless, the short-term recovery in Dogecoin has reached a market price of $0.2517, accounting for a price surge of 4.18% in the past 9 hours.

Completing a double-bottom reversal from the support trendline and the morning star pattern, the underlying support for Dogecoin has significantly increased. Furthermore, the MACD and signal lines in the momentum indicator have given a bullish crossover.

With the rise of positive histograms, the indicator is hinting at a potential breakout rally. Furthermore, the hourly RSI line has crossed above the halfway level, reflecting a surge in bullish momentum.

Considering the DOGE price manages to surpass the overhead trendline, the Fibonacci levels paint a price target near the $0.302 psychological mark with the 1.272 level. On the flip side, the crucial support remains near the $0.2223 and $0.20 psychological mark.

DOGE Derivatives Data: Mixed Sentiment Clouds Direction

Despite the short-term recovery rising against the long-coming bearish trend, speculations in Dogecoin remain uncertain. The Doge derivatives analysis reflects a 2.05% drop in open interest to $2.29 billion.

Amid the declining open interest, reflecting the drop in Dogecoin derivatives traders’ bets, the long-to-short ratiosshow a greater number of bearish players in the market. The ratio remains at 0.9585, highlighting the bearish power.

Furthermore, since the start of February, the open interest-weighted funding rate in Dogecoin has seen frequent oscillations. While the rates continue to bounce back between positive and negative, currently it stands at 0.0040%.

As the rates are on a rising slope, the short-term bulls are willing to bet on a recovery trend. Hence, the derivatives data numbers are providing counter-viewpoints, keeping the overall tone uncertain in the Dogecoin derivative market.