Dogecoin Sets Up for Breakout as MACD Turns Bullish and Volume Surges

Dogecoin (DOGE) displays hidden bullish divergence, supported by a positive MACD flip and price holding above $0.22.

A 95% volume surge to $2.84 billion strengthens the breakout potential towards $0.28–$0.30 in the short term.

Analysis from Bitcoinsensus predicts a breakout within 7 days, targeting the $0.42–$0.43 range.

Dogecoin is consolidating above key support, forming a classic technical pattern indicative of upward momentum. Recent price action and volume suggest a potential price increase. A bullish MACD crossover and sustained price above $0.22 could trigger a move towards $0.28 or higher.

Bullish MACD and Price Support

According to Trader Tardigrade's analysis, Dogecoin is recovering from overbought conditions, with its RSI dropping to 55.49. This lower RSI, coupled with higher lows on the price chart, creates a hidden bullish divergence, often preceding renewed upward movement.

Source: Trader Tardigrade (X)

The MACD line remains above the signal line, and the histogram is flattening, indicating weakening bearish momentum. As of May 18, DOGE traded at approximately $0.2255, representing a 5.13% daily gain. The price has decisively broken above the 100-day SMA at $0.1938 and the Parabolic SAR baseline at $0.2107. Maintaining these levels provides bullish momentum for a potential breakout.

Volume Surge and Cyclical Support

Bitcoinsensus on X highlighted a potential daily trend break for DOGE, viewing the current pullback as a healthy consolidation. Their analysis suggests a breakout within 7 days, targeting $0.42–$0.43.

Source: Bitcoinsensus (X)

DOGE's daily trading volume surged 95%, exceeding $2.84 billion, reflecting renewed market interest. This coincides with Bitcoin's rise and broader altcoin participation, suggesting DOGE might follow its historical pattern of accelerating after a breakout.

Sustained price above $0.22 and a recapture of $0.24 could propel DOGE to $0.28 and potentially $0.30, driven by improving momentum and market sentiment.