The Next Move of Dogecoin: Breakthrough or Collapse?

Dogecoin is going through a crucial phase. For many days, its price has been fluctuating around $0.33, an important level that attracts the attention of analysts and investors. This level is on a major support line, which is considered a barrier against the possibility of deeper corrections. So far, DOGE has held steady, but for how long? According to Trader Tardigrade, a closely watched analyst, this cryptocurrency may be in the process of completing a "bottoming out" pattern, a technical structure that often precedes a price reversal. However, if this scenario is confirmed, it will mark the end of the correction phase and pave the way for a significant recovery. Meanwhile, whales are accumulating tokens massively, which reinforces the hypothesis of an impending recovery. For DOGE, the risk is significant: maintaining its support and triggering buying pressure before the market shifts direction. Dogecoin clings firmly to its main support line Dogecoin is currently in a critical phase as buyers and sellers compete to reach an important price level. After dropping below $0.27 in December, its price quickly recovered. As a result, it has formed a structure that Trader Tardigrade describes as a "selling climax" in a post on X (formerly Twitter) on January 10, 2025. This technical pattern, often seen before a price reversal, indicates sellers' exhaustion and gradual buying pressure returning. Currently, DOGE is fluctuating around $0.336, a level identified as a strategic pivot point. According to analysts, this cryptocurrency is undergoing a "secondary stress test", an important step to evaluate the support level at $0.315. Indeed, if this area withstands the breaking efforts, it could serve as a launching pad for a price recovery. In this case, the new confidence from investors may enhance positive momentum and pave the way for a new uptrend in the coming sessions. On the contrary, violating this threshold will cause DOGE to experience a more significant retreat, which could jeopardize the prospects of a quick recovery. The accumulation of whales, a strong signal? The interest of whales, investors holding a large amount of Dogecoin, is an important indicator of market development. According to data on the chain from Santiment, these wallets, holding from 10 to 100 million DOGE, have accumulated more than 470 million tokens in just 48 hours. This buying wave has increased their total holdings to 22.56 billion DOGE, the highest level in the past 30 days. Such a large accumulation is not accidental. Historically, whale movements often occur before significant price fluctuations, as these factors affect liquidity and market sentiment. Their current strategy indicates a prediction of a price increase, which reinforces the possibility of a reversal. Trader Tardigrade shared this analysis and believes that a breakthrough above the current resistance level could push Dogecoin up to $0.66 in the coming weeks. If this trend is confirmed, it could mark a major turning point for cryptocurrency, attracting more investors and promoting sustainable price growth. The upcoming days are crucial for Dogecoin. If the support level around $0.315 can withstand selling pressure, it may serve as a catalyst for a price recovery, reinforced by whale accumulation. This momentum can gradually restore confidence in the market. However, the cryptocurrency field remains unpredictable. Breaking this significant level will lead to a more noticeable correction for Dogecoin, which will dampen hopes of a quick reversal. Therefore, the development of technical indicators and the behavior of major investors will play a decisive role in confirming or rejecting the hypothesis of recovery in the coming weeks. DYOR! #Write2Earn #Write&Earn $DOGE {spot}(DOGEUSDT)