Analysis of Dogecoin’s price movement shows the cryptocurrency consolidating in an Elliott Wave triangle, setting the stage for a potential breakout. Experts predict targets of $0.40-$0.50 if current momentum continues. However, a drop below $0.20 would invalidate this bullish outlook and shift sentiment toward bearishness. Dogecoin is currently trading at $0.2299, registering a 0.51% increase in the past hour but down 3.23% over the past day and 1.50% weekly. Analysts point to the cryptocurrency’s sideways movement within a symmetrical triangle correction pattern as a healthy sign, aligning with typical Elliott Wave formation that often resolves with upward continuation. Trading activity has slowed significantly, with volume dropping 63.21% to $3.82 billion and open interest falling 3.34% to $3.60 billion. However, options volume decreased but options open interest increased by 41.69%. Liquidations, reflecting a bearish skew, resulted in $3.96 million cleared from long positions in the past 24 hours. On the other hand, top trader ratios indicate optimism among large accounts, especially on Binance and OKX. Elliott Wave Structure Supports Bullish Outlook Analyst Tardigrade identified a symmetrical triangle correction pattern with five sub-waves (A-B-C-D-E). This structure, featuring a 3-3-3-3-3 sequence, typically indicates a continuation phase following consolidation. Wave B appears extended and could be nearing completion, while wave E is nearing its peak. This suggests a potential bullish rally if wave E ends, as per Tardigrade’s analysis. Key Price Levels and Breakout Targets The cryptocurrency has broken out of a channel resistance and is retesting support near $0.22-$0.23. This retest signifies an important confirmation before the start of a potential rally. Targets range between $0.40 and $0.50, potentially suggesting a 30% or more upside if momentum sustains. However, breaking below $0.20 would invalidate this bullish outlook and shift market sentiment back to bearishness. Key price levels and volume trends further reinforce the significance of the current consolidation zone for future movement. Market Sentiment and Trading Behavior Current long/short ratio on exchanges stands at 0.95, indicating a slight dominance of short positions. However, Binance and OKX have top trader ratios above 3.0, suggesting stronger confidence from traders. Notably, Binance’s top trader ratios are higher, with 4.56 for accounts and 4.14 for positions, further reflecting strong bullish sentiment. Despite recent liquidations and falling volume, these trading behaviors point to a positive outlook on Dogecoin’s medium-term performance. DISCLAIMER: The information presented on this website serves as general market commentary and does not constitute investment advice. It is recommended that you conduct your own research before making any investments.