The Dogecoin price has risen 7% over the last 24 hours to $0.20 as of 5:15 a.m. EST.
DOGE increased as much as 13% on Wednesday to set a swing high above $0.202. The popular meme coin is up 136% over the last 90 days.
The dog-themed crypto appears resilient to continue its uptrend as its transaction activity increases. This is evidenced in its 24-hour trading volume which has increased more than 41% to cross the $2.7 billion million mark.
This is evidence that investor interest in Dogecoin is increasing, which is usually a positive sign for the price.
Dogecoin Price Needs to Hold Above $0.1916
The DOGE price had formed an ascending parallel channel on the daily chart. As long as the altcoin continues to trade within the confines of the channel, it will continue to grow.
At the time of writing, the Dogecoin price was fighting to hold above the lower boundary of the ascending channel at $0.1916. Bulls were required to keep the price above this level to ensure that DOGE remains within the rising channel.
If they succeed, the price could rise toward the upper boundary of the channel at $0.215. Breaking this resistance would confirm a bullish breakout from the prevailing chart pattern, suggesting a continuation of the uptrend.
If this happens, Dogecoin would climb to collect the supply-side liquidity above that to $0.2289. Such a move would represent a 15% ascent from the current price.
Dogecoin price prediction, DOGE, trading volume, ascending channel, bullish breakout
DOGE/USD Daily Chart. Source: TradingView
Apart from the bullish chart pattern, Dogecoin’s upside was supported by the position of the relative strength index (RSI) in the positive region. The price strength at 57 reinforced the fact that the buyers were still driving the market.
DOGE also traded above all the major moving averages including the 50-day Exponential Moving Average (EMA) at $0.1636, the 100 EMA $0.1372 and the 200 EMA at $0.113. These were strong support areas that could absorb any selling pressure threatening to take the price lower.
On the downside, the Dogecoin price had formed a doji candlestick on the daily chart. This suggested that the sellers were battling to take control of the price.
If the bears have their way, they could pull the meme coin below the lower boundary of the prevailing chart pattern at $0.1916 toward the $0.180 psychological level. Below that, DOGE could drop further revisiting all the areas defined by the EMAs as mentioned above before seeking solace from the $0.10 psychological level.
Traders could expect DOGE price to take a breather here. This would give the bulls a chance to regroup and buy more on the dip before staging another recovery.
