The double bottom pattern suggests that the price of DOGE will bounce back to $0.25

Dogecoin ( DOGE ) is trading below $0.17, showing a slight bounce back after fluctuating between $0.13 and $0.25 since February.

Despite the sideways movement, DOGE remains the 7th most traded cryptocurrency by trading volume in the last 24 hours. Investors continue to watch whether the memecoin can bounce back to the important psychological level of $0.25.

DOGE Chart – 1 day | Source: TradingViewThe daily chart shows that DOGE is following a double bottom pattern, a classic reversal signal, with a base support level set at $0.15 established in recent weeks. This long-term setup suggests the possibility of a rise to $0.25, a target that could be realized sooner than expected.

In the past two months, DOGE has been constrained within a descending channel, the pattern shows signs of a potential bullish breakout.

Analyst Trader Tardigrade has posted an analysis on X, highlighting the decisive move above the 50-day trend line, followed by a successful retest and continued upward trend.

Analysis of Dogecoin by Trader Tardigrade | Source: XOn the lower time frame, this change is marked by higher lows and higher highs, signaling a potential trend reversal from the previous downtrend.

Supporting this, the on-chain UTXO Realized Price Distribution data shows that the largest holder group is at $0.177, holding 8.94% of the supply. A strong close above this level could pave the way towards the next resistance at $0.206 (7.54%) and possibly even $0.36 (3.83%), fueling optimism.

UTXO Realized Price Distribution of DOGE | Source: Glassnode## Memecoin continues to outperform other sectors

Recent on-chain metrics have painted a mixed picture. Glassnode's post on X shows that DOGE holders are experiencing the highest losses in months, a clear indicator of profit-taking or panic selling at the current price level, indicating short-term pressure.

However, memecoin has dominated the past 90 days with an impressive profit of 56.67%, far exceeding the overall crypto market.

The relative strength of memecoins in 90 days | Source: Dune AnalyticsThis implies hidden upside potential for DOGE. Historical patterns show that memecoins can rise 300%-500% during peak hype cycles, as seen at the end of 2024.

Therefore, DOGE is at a crossroads, with technical indicators pointing towards the potential for $0.25 in the short term through a double bottom pattern and a breakout of the trendline. At the same time, the momentum of the memecoin indicates long-term growth driven by the enthusiasm of retail investors. A decisive move above $0.177 could be the next technical confirmation.

A breakout above $0.25 could become a reality by the end of 2025, especially if Bitcoin's next move amplifies the price surges of the altcoin space. Therefore, the current loss phase could be a consolidation before a breakout formed by the hype.

Vincent