Dogecoin ‘Triangle Pattern’ in Play as DOGE Prints Higher Low After Pullback
Dogecoin (DOGE) recently experienced a 4.6% decline, settling near $0.17 after hitting a low of $0.166. However, strong support emerged around the $0.166–$0.167 range, indicating potential bullish momentum. This support is bolstered by a significant increase in large wallet accumulation, counteracting a decrease in retail interest. This accumulation is up 112% over the past week.
The current market climate presents a mixed picture. Escalating trade disputes and fluctuating central bank policies create a tense macro environment impacting risk assets. A temporary extension of the U.S. “Liberation Day” tariff pause to August 1 provides some relief, alongside major banks anticipating Federal Reserve rate cuts between 0.25% and 1%, potentially starting in July.
Adding to the complexity, Elon Musk’s announcement of The American Party, a political platform rumored to incorporate blockchain-powered finance, has rekindled interest in Dogecoin, particularly among large holders (whales).
Technical analysis reveals a potential multi-year cup-and-handle pattern forming for DOGE. Confirmation of this pattern could push prices as high as $0.75. However, currently, DOGE is trading below resistance levels. A key 24-hour period between July 7th and 8th showed a price drop from $0.174 to $0.166, followed by stabilization and modest recovery. Strong volume-supported support between $0.166 and $0.167 emerged, with decreasing volatility indicating potential trend exhaustion. A notable hourly recovery between 03:38 and 04:37 on July 8th, supported by 4.1M volume, created a higher low at $0.1679. This suggests a possible momentum shift and sets the stage for a short-term bullish continuation. Breakouts above resistance zones at $0.18, $0.21, and $0.36 would significantly strengthen this bullish outlook.
