Dogecoin Price Poised for Rebound After Sharp Pullback, Analyst Predicts Strong Upside

After a promising April rally, Dogecoin price experienced a sharp downturn, briefly shaking investor confidence and sending market sentiment back into the fear zone. However, this pullback might be more of a setup than a setback, according to leading crypto analysts. Technical signals are now pointing toward a potential bottom formation and a strong rebound in the near future.

Analysts Eye Rebound After Dogecoin Pullback

Popular crypto analyst Astronomer believes that Dogecoin may have already bottomed out following its rejection at the $0.18 level. Astronomer argues that similar market conditions are aligning again, drawing parallels with the October 2024 market structure when Dogecoin price surged by 500% to a local high of $0.50.

This time, the altcoin landscape appears to be bottoming out as well, potentially fueling a broader rally. “Given this is an altcoin and expectations are likely beyond $0.50, heavy spot positions already represent low risk for high reward,” the analyst commented. He adds that even leveraged long entries could make sense if managed with clear risk-reward parameters.

Bullish Divergence and Reversal Pattern Emerge

Another analyst highlighted a bullish RSI divergence, signaling a possible reversal in Dogecoin’s price trend. According to this technical setup, a sustained move above $0.206 could confirm a breakout, reigniting bullish sentiment.

Dogecoin’s ability to close above the descending trend line on its daily chart will be critical. If successful, this would validate a shift in momentum and could open the door to further gains.

Key Price Levels to Watch

For the bulls, the first key resistance lies at $0.20, a level that has already proven difficult to breach. Breaking through could see Dogecoin target $0.27 in the medium term. Ultimately, a push toward $0.33 or higher—a 100% gain from current levels—is being eyed by optimistic investors if bullish momentum continues.