Dogecoin‘s Unexpected Surge: A Tale of Buying Pressure and Bullish Signals
Dogecoin (DOGE) has experienced a dramatic upswing, rallying 38% in May, its strongest monthly performance of the year. This surge has caught the attention of traders who see a potential for even greater gains in the coming weeks. With its strong correlation to Bitcoin, analysts believe that DOGE could be poised for a parabolic rally, potentially reaching $1 or even higher.
On-Chain Metrics Point to Accumulating Demand
The recent DOGE rally isn’t just driven by hype; it’s backed by solid on-chain fundamentals. Data from CryptoQuant shows a “taker buyer dominant” trend, with more aggressive buying than selling in DOGE. This pattern, last seen in November 2024, preceded a significant breakout rally of 385%.
Further, Dogecoin‘s Long-Term Holder Net Unrealized Profit/Loss (NUPL) recently crossed 0.5, a key level indicating strong confidence and reduced likelihood of selling. This signifies that most long-term DOGE holders are in profit, suggesting a positive outlook for the coin’s future.
Technical Analysis: Bullish MACD Crossover and Potential Targets
Technical analysis further strengthens the bullish sentiment. Anonymous analyst Trader Tardigrade identified a bullish pattern in the DOGE/BTC trading pair, reminiscent of previous surges that saw DOGE soar by 30,000%. The analyst expects a sideways phase in Bitcoin‘s price to trigger a significant DOGE rally, potentially lasting for weeks.
Trader Tardigrade also pointed to a bullish MACD crossover, which has historically signaled significant price jumps for DOGE. The most recent crossover occurred in May 2025, following previous breakouts in January 2024 and September 2024 that saw price increases of 180% and 385%, respectively.
Crypto trader Javon Marks echoes this bullish sentiment, forecasting an immediate target of $0.65 for DOGE, which would represent a nearly 180% upside from current levels. Marks believes that the potential for Dogecoin to break through this target and reach $1 is very real.
Disclaimer: Always Conduct Your Own Research
While the technical and fundamental factors suggest potential for a strong rally, it’s essential to remember that crypto markets are inherently volatile. This article is not investment advice and should not be considered a recommendation to buy or sell any cryptocurrency.
Before making any investment decisions, it is crucial to conduct thorough research, consider your risk tolerance, and consult with a qualified financial advisor.
