Dogecoin’s Slump Could Be the Setup for a Massive Breakout

Dogecoin may be losing steam on the charts, but some crypto analysts believe the extended slump is only the calm before an explosive move upward.

With prices hovering around $0.16—down over 25% in the past month—speculators are beginning to look beyond the recent dip, focusing instead on signs of a deeper bullish setup forming under the surface.

One pseudonymous analyst, known as Cantonese Cat, argues that DOGE’s prolonged sideways action isn’t a sign of weakness but rather consolidation. In their view, the meme coin has been winding up like a spring over the past six months, and it’s only a matter of time before that energy is released to the upside. They point to a potential breakout scenario based on Fibonacci levels, suggesting that if DOGE reclaims key retracement zones, it could eventually target $1.60, $2.26, and even as high as $4.13 during this market cycle.

“People are growing tired of Dogecoin, and that’s exactly what market cycles are designed to do—shake out weak hands before big moves,” Cantonese Cat noted. “As long as higher lows hold, the trend remains bullish.”

READ MORE:

Solaxy Set to Launch as Solana’s First Layer 2 After Raising $56 Million: Best Crypto to Buy?

That view is echoed by another analyst, Javon Marks, who recently shared a technical breakdown showing that Dogecoin is still printing higher lows, a classic signal of underlying strength. Marks believes DOGE is forming a bullish continuation pattern and could jump toward $0.65 if the breakout is confirmed.

A more aggressive forecast comes from an X user known as Trader Tardigrade, who sees parallels between DOGE’s current setup and its 2020 behavior. At the end of that year, Dogecoin was trading near $0.004 before going vertical to an all-time high of $0.7316 within five months—a staggering 18,000% return. If history rhymes, Tardigrade speculates that DOGE could, in theory, reach a cycle top anywhere between $4 and $31.

Of course, such projections remain highly speculative, and Dogecoin’s path will depend heavily on market sentiment, volume, and broader crypto trends. But for now, while many have written the memecoin off, a growing chorus of analysts suggests it may just be resting before its next move—not retreating.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.