DOGE Price Prediction: Confirmation of the "Cup and Handle" Formation, Is a Bull Run Approaching?

DOGE has significantly rebounded from the support level of $0.14, initiating a new round of rebound after completing the rounding bottom formation and confirming the breakout of the "cup and handle" pattern. This technical signal usually indicates a clear rising trend.

This development has brought DOGE back into the parallel channel, with the current price hovering around 0.182 USD. If DOGE can break through the resistance level of 0.198 USD, its upward momentum may continue in the coming weeks towards a target level of 0.25 USD.

However, if Dogecoin (DOGE) is rejected at this level, it is likely to enter a short-term accumulation phase. Nevertheless, the symmetry of the price pattern and the positive reaction at the important support level indicate that the bulls still hold the dominant position. To solidify this bullish momentum, Dogecoin needs to remain firmly above $0.16 in the short term.

(Source: Trading View)

Are investors laying the groundwork for a stronger DOGE bull market?

In the past 90 days, the cumulative trading volume delta (CVD) of DOGE in the spot market has been biased towards bullish, indicating that strong demand remains dominant.

This dominance not only reflects strong investor confidence but also enhances expectations for sustained growth even during short-term adjustments.

Historically, periods when the bull market clearly prevails often serve as a precursor to significant breakthroughs, especially when combined with aggressive technical patterns.

The continuous buying pressure in the spot market has strongly supported the bullish outlook for DOGE. However, if this consolidation momentum weakens and buying pressure diminishes, DOGE may face a pullback if it fails to break through the key resistance level.

(Source: CryptoQuant)

Why do traders want to withdraw DOGE from the exchange?

The spot Netflow data shows that on just July 10th alone, over 8.5 million dollars worth of DOGE was withdrawn from exchanges, continuing the trend of capital outflow for several consecutive days. This trend clearly reflects investors' tendency to prioritize asset custody or adopt a long-term holding strategy.

This is usually the initial signal of the accumulation phase, at which point investors withdraw assets from exchanges to limit the risk of being sold off, thereby reducing market sell-off pressure.

Although it is uncertain whether the price will rise, the decrease in the circulating supply of DOGE may pave the way for future price increases.

However, if the outflow trend suddenly reverses, it may signal profit-taking—thus putting immense pressure on price recovery.

(Source: Coinglass)

Does derivative product data indicate the next turning point for DOGE?

As of now, the open interest (OI) has significantly grown by 15.09%, reaching 2.44 billion USD, indicating that new capital is strongly flowing into the DOGE futures market.

At the same time, the financing rate continues to remain at a positive value of +0.0093%, reflecting that traders holding long positions are willing to pay costs to shorts—this is an early signal indicating that expectations for a rising trend still dominate.

Strong capital inflows and stable optimistic sentiment further strengthened the bullish sentiment in the derivatives trading sector.

(Source: Coinglass)

However, it is important to note that in the absence of consensus in the spot market, excessive leverage may expose DOGE to the risk of large-scale liquidations. Currently, various indicators still lean towards bullish, but investors should closely monitor unusual fluctuations in the funding rate and sudden increases in open interest (OI) to adjust their strategies in a timely manner.

Can DOGE maintain its upward trend?

DOGE is issuing bullish signals as the price has significantly rebounded from the support level, open interest contracts have soared, and buying pressure is clearly prevailing—all of which suggest that the rise trend may continue.

However, the key resistance level of 0.198 USD remains a significant challenge that needs to be overcome. If DOGE can decisively break through that resistance level, then the next target level around 0.25 USD will be within reach. Conversely, if DOGE falls below that resistance level, it may trigger a short-term Rebound.

Currently, technical signals and on-chain data still favor the bulls. However, to maintain the bullish momentum, DOGE needs strong trading volume and overall market stability support in the coming trading days.