Dogecoin (DOGE) may be preparing for a major rebound after weeks of sideways movement, according to crypto analyst Ali Martinez.
This outlook comes as the meme cryptocurrency shows signs of short-term strength. As of press time, DOGE was valued at $0.19, gaining over 5% in the past 24 hours, while on the weekly time frame, it is up 4%.
In an X post on October 18, Martinez noted that DOGE is trading within an ascending parallel channel that stretches back to early 2023. Dogecoin is currently hovering near the lower boundary of this channel, a region that has historically acted as a reliable launch pad for rallies.
At the same time, the token is defending a key support area around $0.16, near the 0.618 Fibonacci retracement level. As long as this zone holds, bullish momentum could begin to build. The next immediate price barrier is $0.21, which must be breached for DOGE to confirm a recovery.
If upward momentum strengthens, the first major resistance lies at $0.29, a level where the price previously faced strong rejection and which aligns with the mid-range trendline of the channel.
A successful breakout above that level could propel DOGE toward $0.45 in the medium term. Under a strong bullish scenario, Martinez suggested Dogecoin could even reach $0.86 by 2026 if it follows the upper trajectory of the channel.
Dogecoin looking at $1
Meanwhile, the possibility of Dogecoin breaking out was also highlighted by prominent crypto analyst The Scalping Pro, who in an X post on October 19 pointed out that the token is showing signs of a bullish setup that could push it toward $1 sooner than expected.
His outlook noted a steady uptrend forming since early 2024, with price consolidating around $0.19 and maintaining higher lows within an ascending channel.
A projected rebound from current levels suggests a move through $0.40 and a potential breakout toward the upper resistance near $1.17 by 2026.
If the trend holds, Dogecoin’s structure points to renewed momentum and investor confidence. A sustained move above key resistance could confirm the start of a major rally.
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