Despite the Bearish Market, Dogecoin (DOGE) Shows Signs of Resurgent Upward Momentum

Dogecoin (DOGE) has lost its recent upward momentum as the general crypto market experiences a notable drawback.

Dogecoin (CRYPTO: DOGE) is among the major digital assets that have lost their recent upward momentum as the general crypto market experiences a notable drawback. With the market facing bearish pressure, it seems like the meme coin could undergo more decline. However, analysts believe that the meme coin is likely to rebound soon targeting new yearly highs.

Upward Momentum Building For Dogecoin

Recent developments hint at a resurgence of upward momentum for Dogecoin in light of heightened bearish pressure. Technical analysis platform Rose Premium Signals has identified bullish indicators on the DOGE’s chart in the 1-day time frame.

In the analysis shared on the X platform, Rose Premium Signals foresees an impending price recovery, bringing the meme coin back to key resistance levels. A price recovery during this volatile period reflects Dogecoin’s strong resilience and capability in a bearish market outlook.

“As the price drops, it's also moving away from the lower edge of the falling wedge formation. This bounce from the lower edge could be the beginning of a steeper and faster ascent as the market mood improves. After breaking out of the descending resistance, we can expect to see DOGE move towards targets like $0.230, $0.287, $0.340, and $0.445 in the upcoming weeks. But before that happens, we're likely to see a drop to the $0.16896 price point,” the analysis stated.

An Ideal Time To Purchase GOJE In This Cycle

While DOGE has crashed significantly, the decline may be an opportunity to purchase the meme coin as key indications turn green. Technical expert and trader Ali Martinez has predicted an upcoming rebound as he highlights that the ongoing dip may be the right time to buy.

In the 1-hour time frame, the TD Sequential indicator has presented a buy signal in the midst of rising volatility. As a result, Martinez is confident that DOGE might be poised for a recovery in the short term.

“Despite the recent price decrease and the potential for further drops, large investors, also known as whales, are persistently accumulating Dogecoin in anticipation of a major rally in the ongoing market cycle. Today alone, whales have acquired a substantial number of DOGE—140 million to be precise—which is a significant volume of meme coin accumulation in a single day. This behavior by large investors indicates renewed interest and confidence in DOGE among these whales as they make significant trades,” Martinez added.

At the time of writing, Dogecoin is trading at $0.18, showcasing a more than 17% decline in the last 24 hours. Over the past day, its trading volume and market cap have also decreased by over 20% and 17% respectively. With waning market sentiment growing, it seems like the meme coin could face challenges in sustaining an upward move.