Dogecoin roars back with a 4% gain as open interest soars past $3 billion, reigniting hopes for a breakout toward the critical $0.24 resistance.

After enduring weeks of downward pressure, Dogecoin (DOGE) has found new life in the crypto market. The memecoin surged 4% to around $0.21, rebounding from recent weekend lows near $0.19. Analysts and traders are now eyeing a potential breakout that could carry the token toward the $0.24 mark.

This renewed momentum aligns with a clear rise in market confidence. Data from Coinglass shows Dogecoin’s futures open interest has climbed 2.63% to exceed $3.01 billion, signaling growing conviction among leveraged traders. Despite an 8.9% drop in trading volume, the majority of market participants are holding long positions—a classic bullish signal that suggests many expect further upside.

“DOGE has successfully retested the breakout. Next is expansion,” tweeted crypto trader @MikyEdge, pointing to a classic bullish setup.

Derivatives Market Shows Mixed Signals

Even though the rise in open interest has been causing excitement among traders, Dogecoin derivative metrics remain a mixed outlook. Even though there has been a recent price surge, Dogecoin funding levels remain low—a reflection that traders are not over-leveraging, perhaps waiting for more definitive confirmation before increasing positions.

“Dogecoin has successfully retested its breakout level and is now positioned for potential expansion.” Source: Mikybull Crypto via X

According to Santiment data, Dogecoin whales, or 10–100 million DOGE addresses, dumped more than 740 million DOGE since July 17. The selling pressure by the large holders fueled Dogecoin’s 35% fall during the last fortnight of July.

On a positive note, top trader long/short ratios remain heavily skewed toward bullish sentiment. On Binance, the DOGE/USDT long-to-short ratio stands at 2.7693, and on OKX, it is even higher at 3.89. These figures suggest that institutional and high-volume traders continue to bet on upward Dogecoin price action in the short term.

Technical Setup Suggests Potential Rally to $0.24

Technically, Dogecoin is appearing bullish. The price is testing the 50-day EMA and the 200-day SMA at $0.21—a key resistance level that will experience a rally into the $0.24 zone if it’s broken. The current Relative Strength Index (RSI) has improved from a weekend low of 39 to 46.70, closer to the neutral line with plenty of room before it reaches overbought conditions.

The triangle pattern suggests a pullback before a potential move toward $0.60. Source: pouriakhademi74 on TradingView

The Stochastic Oscillator also rebounded from levels of oversold, which indicates increasing momentum. A close of the daily chart at a level above $0.21 would most likely confirm a reversal of sentiment and prepare for further continuation higher, possibly to the six-month high resistance at $0.28.

Dogecoin’s technical setup is improving, and sustaining momentum above $0.21 could make $0.24 a realistic short-term target.

DOGE Breakout Confirmed – But Risks Remain

Dogecoin has also successfully retested its breakout zone at around $0.20, reinforcing this level as new support. This price behavior aligns with a textbook bullish breakout retest, where former resistance transforms into support—a key indicator for potential trend continuation.

Dogecoin was trading at around $0.21, up 3.96% in the last 24 hours at press time. Source: Brave New Coin

However, failure to maintain levels above $0.21 could invite selling pressure. A rejection here may send the DOGE price back to the $0.188–$0.18 support region. If bearish sentiment takes hold, a deeper correction could drag the memecoin toward the $0.14 range.

Still, as long as Dogecoin holds above the key support level at $0.20, technical indicators favor a bullish continuation. Broader market sentiment and Bitcoin’s price movement will likely influence DOGE’s next direction.

Will Dogecoin Reach $1? Projections Remain Cautious but Hopeful

With a fresh rally in the works, many investors are once again asking: “Will Dogecoin reach $1?” Though the path to that goal is uncertain, Dogecoin’s recent revival and increasing open interest suggest a sound foundation for further gains.

Dogecoin has broken local resistance and, amid strong memecoin momentum, appears well-positioned for a potential push toward the $1 mark. Source: Crypto General via X

The Dogecoin price forecast for 2025 is mildly optimistic. The majority of analysts agree that the return to all-time highs or a push past $1 would have to be catalyzed by continued momentum, market-wide bull runs, and perhaps another bout of retail hype fueled by celebrity influencers such as Elon Musk, who is still intricately tied to Dogecoin’s public image.

What’s Driving Dogecoin’s Potential Right Now?

Several factors are converging to boost Dogecoin’s short-term price forecast:

• Technical breakout and support retest at $0.20
• Rising open interest, suggesting growing trader confidence
• Recovering RSI and Stoch indicators, pointing to bullish momentum
• Positive long/short ratios across major platforms like Binance and OKX

At the same time, traders are monitoring Dogecoin whale activity and derivatives market signals to gauge whether this rally has legs. While DOGE predictions are always speculative, the current chart setup gives bulls a reason to hope.

Final Thoughts: What’s Next for Dogecoin?

Dogecoin appears to have made solid foundations after selling for months. The combination of bullish chart patterns, rising open interest, and neutral-to-positive sentiment gives fertile ground for a potential breakout to $0.24 or even $0.28.

However, prudence is advised to persist. Dogecoin price prediction models remain sensitive to macroeconomic trends, whale behavior, and general crypto sentiment. As always, risk management and diversified exposure remain critical for investors navigating the volatile memecoin waters.

Whether or not Dogecoin breaks $1 remains to be seen—but short-term, all eyes are on the $0.21 resistance level.