Dogecoin’s price momentum is heating up as it makes another move towards the key $0.18 mark, a level that previously set an all-time high for the popular meme coin. The recent surge in the Dogecoin price has caught the attention of traders and long-term holders alike, sparking speculation about a possible breakout that could take it to new heights. As bullish pressure mounts, the widespread question is whether Dogecoin has the strength to break through its resistance and ultimately reach a new milestone.

This article aims to examine the recent rise in Dogecoin’s price and assess its capabilities to break the crucial resistance level at $0.18. Through technical analysis and a look at current market sentiment, this piece provides insight into the driving forces behind DOGE’s rally and evaluates its breakout opportunities.

Bullish Momentum Builds for Dogecoin Price

DOGE has consistently maintained its position above the 100-day Simple Moving Average (SMA) on the 4-hour chart, indicating continued upward movement and a strong bullish foundation. This stable position above the SMA line indicates a supportive trend for further gains as buyers have continued to show resilience in defending key levels. Recently, Dogecoin price recovered from the $0.149 support level, fueling positive market sentiment and reaffirming the strength of buyer interest at this critical point.

An analysis of the 4-hour Relative Strength Index (RSI) reveals renewed bullish potential as the RSI has risen above the 50% threshold from the oversold zone. This upward shift, currently at 65%, indicates that buying momentum is gaining strength, signaling a transition from a bearish phase to a more neutral, possibly bullish stance.

Furthermore, the daily chart shows that Dogecoin is on a strong upward move, highlighted by a series of positive candlesticks indicating continued buying pressure. This bullish trend is reinforced by DOGE’s position above the 100-day SMA, a key level that indicates continued strength in the current uptrend. As the Dogecoin price continues this trajectory, market sentiment is becoming increasingly hopeful, creating a favorable situation for more gains as the $0.18 resistance level approaches.

Finally, the RSI on the daily chart is now at 65%, recovering from an earlier dip to 56%. If the RSI continues to rise, it could indicate greater strength in DOGE’s price action. Furthermore, maintaining a position above 60% could significantly increase the likelihood of continued bullish momentum and potential breakouts, reinforcing the asset’s positive sentiment.

Will DOGE persevere or retreat?

Dogecoin price is approaching the critical resistance level at $0.18, prompting speculation about the potential for continued gains. Should DOGE successfully breach this threshold, it could pave the way for a substantial rally that could potentially reach new highs. possibly leading to the setting of a new record.

However, if DOGE fails to overcome the resistance, it could result in profit-taking, which could trigger a decline towards the $0.149 support level and other additional downside targets.