Dogecoin (DOGE) May Be on the Brink of a Recovery, Targeting $1 in 2025

Dogecoin (DOGE) may be poised for a comeback in 2025, despite a recent 16% price drop. Some analysts believe that the meme coin is forming a technical pattern that could lead to a significant price surge.

Technical analysis by the pseudonymous analyst “Trader Tardigrade” suggests that Dogecoin is forming a “Selling Climax Bottom” pattern. This pattern typically occurs after a period of heavy sell-off, indicating that a surge in price may follow. Additionally, Dogecoin is still trading above its support trendline, which could be setting the stage for a rebound.

“Selling Climax Bottom in $DOGE, a pattern where the crypto fiyatı surges after a period of heavy sell-off, possibly indicating a buying climax,” Trader Tardigrade explained in a tweet.

If the support trendline holds, it could trigger a “Sign of Strength” (SOS) formation, indicating an upward momentum. This technical pattern suggests that the meme coin will soon recover, indicating a strong market reaction to recent declines.

Another trader, known as JAVON, has highlighted the potential for Dogecoin to enter a massive bull cycle. He pointed out that in past cycles, the coin experienced a sharp rise after it broke the resistance level. According to Javon, DOGE could see a 120% increase to reach new all-time highs.

“Just checked and $DOGE (Dogecoin) still looks well positioned to continue in yet another massive bull cycle showcase,” Javon stated in a tweet.

Just checked and $DOGE (Dogecoin) still looks well positioned to continue in yet another massive bull cycle showcase ⚡️!

All Time Highs in another near +120% move can be coming in any moment now and even then, could have much, much more to go… https://t.co/QjzgO8ghnn pic.twitter.com/X8hPKbBPBS

Entering 2025, Dogecoin is presenting favorable conditions for a price surge, according to Javon. He noted that previous bull cycles showed a recurring pattern, where the coin surged after consolidating at key price levels. Thus, the pattern indicates that DOGE could be near another breakout.

“The technical outlook suggests that Dogecoin’s price could follow a similar trajectory to previous bull cycles. A surge of over 120% could push the cryptocurrency to new levels to surpass its current price,” the report adds.

However, some analysts like Kevin remain cautious, warning that if Bitcoin does not recover, Dogecoin may decline further. According to Kevin, DOGE may drop lower before reaching a bottom support level.

“If BTC doesn’t start recovering soon, I can see DOGE dropping lower before reaching a bottom support,” Kevin stated in a tweet.

Meanwhile, derivatives traders seem to be anticipating a DOGE rebound, with the majority of traders on Binance expecting a rise in price. Over 82% of traders are going long on DOGE, betting on an imminent price increase.

“Majority of traders on $DOGE perpetual futures are now expecting a price increase. Usually, a derivative traders’ crowd is bearish on DOGE,” IntoTheBlock stated in a tweet.

blockchain analytics firm IntoTheBlock also provided a “Mostly Bullish” signal for Dogecoin. This contrasted with Ethereum, which received a “Mostly Bearish” signal. These signals further indicate the uncertainty and volatility in the market.

At the time of writing, Dogecoin (DOGE) is trading at $0.334, reflecting a 2.87% drop in the last 24 hours. However, DOGE has gained 0.55% year-to-date, which shows an increase compared to 2024. These fluctuations highlight the high risk-reward ratio for trading DOGE in the current market conditions.