Dogecoin (DOGE) Price Prediction 2025: Will DOGE Break Through Resistance?

Dogecoin has recently made headlines with its first-ever bullish divergence on the RSI daily chart in 2025, signaling a potential upward movement in its price.

Dogecoin price showed signs of potential upward movement on Monday, driven by a bullish divergence on the RSI daily chart. However, a breakout was not guaranteed, as indicated by key resistance levels and bearish pressure.

Key Takeaways

Dogecoin price might be preparing for an uptrend, according to a bullish divergence on the RSI.

Despite the promising indicator, a breakout was uncertain due to market conditions and technical indicators.

Dogecoin’s Total Value Locked saw a slight increase, indicating some interest in the network.

Dogecoin price showed signs of potential upward movement on Monday, driven by a bullish divergence on the RSI daily chart. However, a breakout was not guaranteed, as indicated by key resistance levels and bearish pressure.

Dogecoin Technical Analysis

Dogecoin price was consolidating within a descending wedge pattern on Monday, showing no clear breakout from key resistance levels. However, the presence of a bullish divergence on the Relative Strength Index (RSI) pointed toward the possibility of an uptrend.

Despite the promising technical indicator, a breakout was not guaranteed. For a successful rally, Dogecoin price needed to maintain support at the $0.25 level and break through the resistance. If Dogecoin managed to hold steady above this price level, a price surge could follow.

However, the key question remained whether enough market support would emerge to trigger a sustained rally.

Dogecoin Total Value Locked (TVL)

Dogecoin’s Total Value Locked (TVL) saw a slight increase, growing from $4.24 million on March 1 to $4.68 million on Monday. This indicated a modest rise in investor interest and participation in the network.

Although this TVL increase was positive, it remained small and did not yet indicate a significant shift in market sentiment. Therefore, while this uptick was encouraging, further monitoring of TVL trends over the next few days would be critical to determining whether it would lead to substantial price movement.

Dogecoin Price Analysis: MVRV Ratio

Dogecoin price was trading at $0.2659 at the time of writing, reflecting a 2.23% increase over the past 24 hours. However, the cryptocurrency was down 9.36% over the past seven days.

Dogecoin’s Market Value to Realized Value (MVRV) ratio stood at 77.7%, suggesting that Dogecoin was nearing its fair market value but had not yet become severely overbought.

For Dogecoin to see continued upward movement, it needed to generate significant buying interest in the market. If the MVRMVRV Ratio Explained: How Does It Impact Crypto Prices?

This indicator provides valuable insights into market cycles and helps traders identify potential buying or selling opportunities.

The MVRV ratio is calculated by dividing an asset’s market capitalization by its realized capitalization. Realized capitalization is the total value of all coins in circulation at the price they last moved. This indicator can be used to determine the average "cost basis" of all holders in a particular asset.

A high MVRV ratio typically indicates that an asset is trading at a premium to its "fair value" and could be at risk of a price correction if the market loses steam. On the other hand, a low MVRV ratio suggests that an asset may be undervalued and could have further room to grow.

However, it's important to note that the MVRV ratio on its own is not a perfect predictor of future price movements and should be used in conjunction with other technical indicators and market analysis to make informed trading decisions.

ratio continued to rise, it could signal that the asset was becoming overvalued, which could lead to price corrections in the near future.

The MVRV ratio, when viewed in conjunction with other indicators, suggests that while Dogecoin has the potential for growth, investors should remain cautious of the risks associated with overvaluation. It will be important to watch for any signs of overheating in the market, especially if the price continues to climb without sufficient support from new buyers.

Dogecoin Technical Analysis – March 6

Further analysis of the technical indicators shows that Dogecoin’s market sentiment remained largely neutral. The RSI was currently at 40.96, indicating limited buying momentum and overall market indecision.

Additionally, the Directional Movement Index (DMI) revealed a positive Directional Index (+D) at 9.31 and a negative Directional Index (-D) at 33.24. The Average Directional Index (ADX) was at 24.53, signaling weak trend strength.

The disparity between the positive and negative directional indices suggests that while there may be some signs of potential upward movement, the overall bearish pressure was still dominant. This indicates that a breakout is not guaranteed, and for Dogecoin to overcome this bearish pressure, it will need sustained buying interest and a shift in market sentiment.