Dogecoin May Rally 24% if It Closes Above $0.165 Amid Positive Market Sentiment

• Dogecoin’s potential for a bullish reversal is gaining traction, with market sentiment shifting positively as key indicators point to potential gains ahead.

• Recent data highlights a significant interest among investors, as Dogecoin’s on-chain activity suggests a favorable outlook for the popular memecoin.

• “The current market landscape shows that traders are favoring long positions, indicating confidence in Dogecoin’s upcoming price movements,” according to insights from Coinglass.

Explore how Dogecoin might surge by 24% if it closes above $0.165, as market sentiment shifts and bullish signals emerge from the analytics.

Market Sentiment Shifts Towards Bullish Territory for Dogecoin

In recent weeks, Dogecoin (DOGE) has shown signs of a potential bullish reversal. With the price hovering around $0.1643, market analysts have identified crucial technical levels to watch. If DOGE manages to close a daily candle above $0.165, it could set the stage for an impressive 24% increase, aiming for the $0.207 level. This optimism is underscored by significant outflows from crypto exchanges, signaling a shift in trader sentiment towards long positions.

Traders Favor Long Positions as Accumulation Increases

Data from various on-chain metrics demonstrates a growing inclination towards long bets among traders. The DOGE Long/Short Ratio currently sits at 1.116, indicating that more participants are betting on price appreciation rather than depreciation. This metric, typically indicative of a bullish market, reveals that traders are positioning themselves for potential gains. As highlighted by Coinglass, the substantial outflows from exchanges—over $3.75 million worth of DOGE—further suggest that investors are accumulating tokens, a behavior often observed during bullish phases.

Source: Coinglass

Technical Analysis reveals Critical Support and Resistance Levels

According to COINOTAG’s latest analysis, Dogecoin has recently broken through a significant descending trendline that has posed strong resistance since January 2025. This development signals a potential shift in the prevailing bearish sentiment. If the downward pressure abates and DOGE establishes a daily close above $0.165, the cryptocurrency might face new upside potential towards the $0.207 region.

Source: TradingView

Conclusion

In summary, Dogecoin’s recent performance suggests signs of recovery as market sentiment increasingly supports bullish positions. With significant outflows and positive trader sentiment, DOGE is strategically positioned for potential upward movements. Observers will be keen to see whether the cryptocurrency can sustain momentum and ultimately close above the defined resistance level of $0.165. If this occurs, a path towards $0.207 could beckon, highlighting the importance of monitoring market signals closely.