Dogecoin (DOGE) Price Breaks Out, But Not All Are Convinced the Bullish Pattern Is Confirmed Just Yet

Traders are ramping up their positions on Dogecoin as its price "breaks out," reaching its highest monthly level on July 20.

Crypto traders are keeping a close eye on Dogecoin (DOGE) as its price continues to rise, reaching its highest level of the month on July 20. While some traders believe that the bullish pattern is indicating an impending breakout, others are still hesitant to fully confirm it.

“DOGE is breaking out and looks primed for an aggressive up move,” pseudonymous crypto trader Shelby wrote in a July 20 X post. They went on to say that Doge breaking out has served as “a catalyst” for other altcoins in the past, including Floki (FLOKI) and Shiba Inu (SHIB), which have risen 37% and 3.89%, respectively, according to CoinMarketCap.

Crypto trading accounts Cheds and CryptoBoss also highlighted the “nice base break” in Dogecoin's price, asserting that it is “breaking out.” At the time of writing, DOGE is trading at $0.1336, up 18.82% over the past seven days.

On the other hand, pseudonymous crypto trader Magnate warned their followers to “not FOMO here, pullback offers a lower price.” A 10.6% move down to $0.1194, a price level seen just seven days prior, will liquidate approximately $47.23 in long positions.

Dogecoin recently reached its highest level of Open Interest (OI) — a measure of the total value of all outstanding or “unsettled” Bitcoin futures contracts across exchanges — for the month of July, jumping 19% to $647.19 million over four days, according to CoinGlass data.

Doge price spike follows major movement in market sentiment indicator

The market sentiment is also heating up across the board, with the Crypto Fear and Greed Index showing a dramatic shift.

The indicator, which tracks market sentiment toward Bitcoin and crypto, is now sitting at a “Greed” score of 74, up 41 points from its “extreme fear” score of 33 last week.

Related: Is Dogecoin copying the 2020 fractal that sent DOGE price soaring 15,800%?

The price spike comes amid speculation about whether Dogecoin could replicate its previous performance of reaching an all-time high of $0.73 a year after the previous Bitcoin halving, in May 2021.

After the 2020 Bitcoin halving, Dogecoin price reached its all-time high of $0.73 on May 8, 2021. BTC price halvings occur roughly every four years.

BTC price is up 0.8% over the past 24 hours to trade at an average price of $67,215 at the time of writing.

If this pattern were to continue, Dogecoin price would reach a new all-time high in April 2025. However, technical analysis is difficult to apply to memecoins as their value is largely speculative.

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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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