Dogecoin Price Bullish Party Awaits Key Pattern Breakout

Dogecoin price is moving in tandem with other top cryptocurrencies, especially meme coins like Shiba Inu (SHIB), whose value has grown by close to 10% in the last 24 hours to trade at $0.00000982.

The largest meme coin, DOGE, has over the last 24 hours enhanced its technical outlook to $0.0754, with $365 million in trading volume and $10.6 billion in market capitalization.

Bitcoin (BTC) and Ethereum (ETH), the two prominent cryptos, exhibit a vivid bullish outlook despite record-low volatility over the past few weeks. BTC is up 2.3% to $29,815 while awaiting a falling wedge pattern breakout.

Is Dogecoin Price Ready To Begin Breakout?

Dogecoin price is on the brink of validating a bullish trend reversal, after facing rejection at $0.085 and upholding a confluence support formed at $0.72 by the 50-day Exponential Moving Average (EMA) (red) and the 100-day EMA (blue).

Since traders, especially the conservative ones prefer the token first confirms a breakout before they go all-in, Dogecoin has a higher chance of rebounding above $0.85 and closing the distance to $0.1.

The most significant uphill battle pertains to the expected break and hold above the 200-day EMA (purple) at $0.075. Buy orders triggered above this level are likely to turn profitable quickly, thanks to the bounce-back momentum from the confluence support at $0.072.

A few boxes must check for the uptrend to carry on to $0.085 and $0.1, including a potential buy signal from the Moving Average Convergence Divergence (MACD) indicator.

Although the current technical outlook appears bearish, the MACD line in blue could cross above the signal line in red, thus adding credence to the recovery.

As the Money Flow Index (MFI) rebounds from the oversold region, long positions in Dogecoin become even more favorable. This indicator compares the inflow and outflow volume in DOGE markets.

A consistent uptrend toward the overbought area – above 80 implies that volatility is growing and a breakout is in the offing.

If Dogecoin’s technical picture keeps this positive outlook, recovery to $0.085 would be a matter of when and not if. Likely to support the bullish momentum is the news that Binance, the largest crypto exchange has added DOGEUSDT weekly options.

This means that the platform’s users now can buy and sell DOGEUSDT weekly options, starting at 08:00 UTC on Thursday, August 10. According to a CoinGape report, the trading pair “will be listed every Thursday at 08:00 UTC.

Dogecoin has become the fifth crypto supported on Binance weekly options including Bitcoin (BTC), Ethereum (ETH), BNB, and XRP.

With this support, demand for Dogecoin will likely increase and possibly shorten the time taken to reach $0.1.

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John is a renowned crypto analyst and journalist, providing expert insights into both broad and focused aspects of the digital asset market. As a steadfast reporter, he keeps his audience updated with the latest news in the crypto sphere, delving into topics such as price trends, on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the ever-evolving metaverse.

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