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Dogecoin experienced a remarkable 63% surge in July 2025, reclaiming critical support levels and setting sights on long-term resistance near $0.40 amid strong accumulation trends.
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The rally from $0.15667 to $0.27031 signals renewed bullish momentum, supported by key accumulation zones and minimal resistance above $0.40.
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According to “Galaxy” on X, Dogecoin may be on the verge of a multi-year trend shift, with a wide bullish monthly candle indicating sustained buying pressure since early July.
Dogecoin’s 63% July surge highlights strong accumulation and a test of long-term resistance near $0.40, signaling potential trend reversal and renewed bullish momentum.
Dogecoin Approaches Critical Long-Term Trendline Resistance
Dogecoin’s price action in July 2025 demonstrates a significant rebound as it approaches a key descending resistance trendline originating from its 2021 all-time high near $0.86. This trendline has historically capped rallies, and a decisive monthly close above it could indicate a fundamental shift in market sentiment. The recent flip of previous resistance levels into support, particularly around the $0.20 to $0.27 range, strengthens the case for sustained upward momentum. Investors should closely monitor price behavior near the $0.40 to $0.45 zone, where this trendline intersects, as it represents a critical juncture for Dogecoin’s medium to long-term trajectory.
Support Levels Reinforced by Historical Accumulation Zones
Analysis of the UTXO Realized Price Distribution reveals substantial accumulation between $0.056 and $0.24, with the largest cluster centered around $0.056 where over 29 billion DOGE last changed hands. These accumulation zones act as robust support foundations, reducing downside risk and providing a base for further price appreciation. Additional significant clusters at $0.102, $0.195, and $0.243, each with volumes ranging from 5 to 10 billion DOGE, further validate the strength of these support levels. This distribution suggests that investor interest remains strong at lower price points, which could limit volatility and support sustained recovery.
Emerging Resistance at $0.36 and $0.40 Levels
Resistance is forming near $0.36, where a notable volume of over 5 billion DOGE last transacted, indicating a potential supply zone as holders may seek to realize profits. The convergence of this resistance with the long-term descending trendline near $0.40 compounds the challenge for bulls. However, the relatively low volume of realized transactions above $0.40 suggests that once this resistance is overcome, Dogecoin could face less friction in advancing towards higher price targets. Maintaining support above the $0.20 to $0.27 range remains crucial for any sustainable breakout, as this zone underpins the recent bullish momentum.
Market Sentiment and Future Outlook
Market sentiment, as reflected by “Galaxy” on X, points to a potential multi-year trend shift driven by historical accumulation and technical factors. The formation of a wide bullish monthly candle underscores strong buying interest and a possible transition from a prolonged correction phase to renewed growth. Investors and traders should watch for confirmation through monthly closes above key resistance levels, which could signal the start of a new bullish cycle. Meanwhile, the accumulation zones provide a safety net that may encourage further participation and reduce downside risks.
Conclusion
Dogecoin’s sharp 63% rally in July 2025, supported by substantial accumulation and the reclaiming of critical support levels, positions it at a pivotal point near long-term resistance around $0.40. The interplay between historical accumulation zones and emerging resistance clusters will likely dictate the near-term price trajectory. A successful break above the descending trendline could mark a significant trend reversal, attracting renewed investor interest. Maintaining support above $0.20–$0.27 is essential for sustaining momentum, making this range a key area to watch. Overall, Dogecoin’s current technical setup suggests cautious optimism for continued recovery and potential bullish expansion.
