Dogecoin Advances Over 2% After Double Bottom Pattern Emerges
Dogecoin (DOGE), the top meme-based cryptocurrency by market value, is showing renewed strength after developing a bullish double bottom pattern during the overnight session.
DOGE rose more than 2% in early Asian trading, surpassing $0.16, partially recovering losses from Monday when its price slid from $0.1663 down to $0.1567, according to data from CoinDesk.
CoinDesk’s AI-driven analysis identified a clear double bottom formation in the $0.157–$0.158 range, accompanied by higher-than-average trading volumes. The rebound in DOGE also coincides with Bitcoin’s recovery, as BTC climbed from a low of around $105,200 to approximately $107,000 overnight.
A double bottom pattern typically signals a potential reversal after a sharp decline, consisting of two similar low points separated by a temporary bounce. A move above the interim high—in DOGE’s case, already achieved—is often seen as confirmation of a shift from bearish to bullish momentum.
Despite the positive short-term movement, DOGE remains within a broader downward trend that’s been in place since mid-May, characterized by consistent lower highs. For this bearish setup to be invalidated, the price would need to break above resistance around $0.17, established over the weekend.
Key Insights from CoinDesk AI:
- DOGE established a double bottom pattern between $0.157 and $0.158, with increased trading activity noted during the 13:00–14:00 UTC window on July 1.
- The token climbed steadily to close at $0.161, with growing trading volume signaling stronger buying interest.
- Between 05:37 and 06:36 UTC on July 2, DOGE posted a 0.36% gain, rising from $0.1605 to $0.1611.
- Price movements formed an upward channel, with notable volume surges at 06:06 and 06:07 UTC, where trades exceeded 4.4 million and 6.0 million tokens, underscoring robust demand.
- After peaking at $0.1611 at 06:14 UTC, DOGE briefly dipped to $0.1606 before ending the hour back at $0.1611.
