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Dogecoin (DOGE) has surged 18% this week, signaling a potential 300% rally by the end of 2025 as key technical and onchain indicators align bullishly.
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The memecoin’s breakout from a prolonged downtrend and formation of a double bottom pattern suggest strong momentum building towards new yearly highs.
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According to COINOTAG sources, DOGE’s futures open interest and long-term holder profit metrics indicate rising demand and diminishing sell pressure, reinforcing the bullish outlook.
Dogecoin’s recent breakout and supportive onchain data point to a possible 300% rally by 2025, driven by strong technical patterns and growing market demand.
Dogecoin Breakout and Double Bottom Pattern Signal Bullish Momentum
Dogecoin’s price action over recent weeks has demonstrated a clear shift in market sentiment. After breaking out of a long-term descending channel, DOGE established a textbook double bottom pattern on the daily chart, a classic reversal signal that often precedes sustained upward moves. Currently consolidating between $0.19 and $0.21, this phase acts as a healthy retest, setting the stage for a potential breakout above $0.21. Should this occur, the path to $0.25 becomes highly probable, completing the double bottom formation and opening the door to higher resistance levels near $0.48, last seen in December 2024.
Technical Structures Indicate Potential for Parabolic Upside
On the weekly timeframe, DOGE’s price is trading within an ascending broadening wedge, a formation known for its capacity to produce parabolic breakouts. Crypto analyst Trader Tardigrade highlights that this structure suggests DOGE is preparing to challenge the wedge’s upper boundary, which could trigger accelerated gains. Historical patterns reinforce this view, with similar setups preceding major rallies. If DOGE reclaims $0.25 decisively, the psychological $1 mark emerges as a realistic long-term target, contingent on overcoming the $0.47 resistance level.
Onchain Metrics Confirm Growing Demand and Reduced Selling Pressure
Supporting the technical outlook, onchain data reveals a robust increase in speculative interest and buying activity. DOGE futures open interest surged by 67% in July, climbing from $1.70 billion to $2.85 billion, signaling heightened trader engagement without excessive leverage, as funding rates remain neutral. Concurrently, the spot market’s cumulative volume delta (CVD) shows steady net buying pressure, underscoring genuine demand behind the price movement.
Long-Term Holder Sentiment Shifts Toward Confidence
The Long-Term Holder Net Unrealized Profit/Loss (LTH-NUPL) metric has entered the Optimism-Anxiety zone, reflecting a psychological shift among long-term DOGE investors. This zone indicates holders are realizing moderate profits and growing cautiously confident, reducing sell pressure that typically hampers rallies. Historically, DOGE’s major breakouts in 2021 and 2024 coincided with LTH-NUPL entering this zone, reinforcing the likelihood of sustained upward momentum driven by fresh capital inflows.
Conclusion
Dogecoin’s recent breakout from a prolonged downtrend, combined with a well-formed double bottom and ascending wedge patterns, sets a strong technical foundation for a potential 300% rally by the end of 2025. Onchain data further corroborates this bullish thesis, highlighting increased futures activity, net spot buying, and improving long-term holder sentiment. Investors and traders should monitor key resistance levels at $0.21 and $0.25, as surpassing these could unlock significant upside potential. Maintaining a disciplined approach and watching for confirmation signals will be crucial as DOGE navigates this promising phase.
