Dogecoin (DOGE) may be on the verge of a major breakout that could create a new wave of millionaires, according to analysts. Recent technical patterns and trendline behaviour suggest that DOGE is gearing up for a powerful rally in the coming months.
Dogecoin Shows Strength Amid Sideways Trading
After peaking at $0.19, Dogecoin spent weeks in a consolidation phase. Over the past seven days, however, it has climbed by 12%, signalling a growing bullish sentiment. Over the past 14 days, DOGE has remained up 10.6%, currently trading at $0.1779.
Amid this backdrop, analysts are identifying key technical indicators that point to a potential trend reversal, one that could send Dogecoin soaring toward the $0.50 mark.
Bullish Divergences Signal a Trend Reversal
Crypto Bio, a respected market analyst, recently highlighted two important bullish divergences on Dogecoin’s chart. These divergences signal weakening bearish momentum and hint at an imminent upward move.
The first divergence appeared between late June and August 2024. While Dogecoin’s price fell into the $0.07 to $0.09 range, the Relative Strength Index (RSI) formed higher lows, indicating a reduction in selling pressure. This setup preceded a sharp rally that carried DOGE above $0.40 by December 2024.
Now, a similar divergence has emerged between March and April 2025. As Dogecoin’s price fell to around $0.13, the RSI once again formed higher lows, replicating the bullish setup seen last year. Crypto Bio believes this pattern suggests Dogecoin is “waking up,” projecting a price surge toward $0.50 within the next two to three months.
According to his analysis, investors who hold large quantities of DOGE stand to benefit the most. For example, a $10,000 investment at current prices could grow to $27,534 if Dogecoin hits $0.50. However, achieving millionaire status would require holding around 2 million DOGE, currently valued at approximately $360,000.
Parabolic Trendline Offers Strong Support
Further bolstering the bullish case, analyst abermix points to Dogecoin’s adherence to a long-term parabolic trendline. This trendline, drawn from lows near $0.05 during 2022 and 2023, continues to hold firm in 2025.
Despite several attempts to breach this trendline, notably at $0.06, around $0.08, and near $0.14, Dogecoin’s price has managed to stay above it. Although DOGE remains slightly below its short- and long-term exponential moving averages (EMAs), analysts suggest that a rally above $0.20 could confirm a broader trend reversal.
Related article: Dogecoin Could Rally 364% to $0.67, Top Analyst Predicts
Falling Wedge Breakout Adds to Optimism
Adding even more weight to the bullish thesis, Dogecoin recently broke out of a falling wedge pattern. This technical setup had constrained DOGE’s price for several months, with notable resistance levels tested at $0.28 in February and $0.16 in April.
The breakout near $0.18 was accompanied by increased trading volume and a reclaiming of critical support levels. Historically, falling wedge patterns often precede bullish reversals, and Dogecoin’s current price action aligns with this behaviour.
Analysts note strong support levels at $0.143 and $0.16, suggesting that DOGE’s breakout could propel it toward the $0.46 to $0.50 range over the coming months.
With bullish divergences, trendline support, a falling wedge breakout, and increasing market momentum, Dogecoin appears poised for a major move. If the technical patterns continue to play out, investors could witness a surge to $0.50, potentially minting new Dogecoin millionaires along the way.
