Key Dogecoin Resistance Levels Revealed: $0.18, $0.21, and $0.36 as Major Supply Walls

A recent on-chain analysis has highlighted three crucial resistance levels for Dogecoin (DOGE) that could shape its short-term price action. According to crypto analyst Ali Martinez, these levels coincide with major supply walls observed on the UTXO Realized Price Distribution (URPD) chart, a tool that maps the volume of DOGE supply bought at various historical price points.

What the URPD Says About Dogecoin’s Next Resistance

The URPD, developed by Glassnode, offers insight into how much of Dogecoin’s circulating supply was last moved at specific price ranges. These price clusters help identify potential support and resistance zones by showing where investors bought into the asset.

In Martinez’s latest post on X (formerly Twitter), he points to $0.18 as the closest and most immediate resistance level. Approximately 8.94% of DOGE’s supply was last acquired at this price zone, meaning a significant number of holders are currently underwater. Historically, when prices revisit such “break-even” zones, many investors take the opportunity to exit creating strong selling pressure and price resistance.

Following $0.18, Martinez identified $0.21 and $0.36 as the next major resistance zones. These levels correspond to supply concentrations of 7.24% and 3.82%, respectively.

Thin Zone Between Resistance Walls Could Open a Path for Gains

One notable insight from the URPD chart is the lack of major supply clusters between $0.21 and $0.36. This “thin zone” may act as a price vacuum, where DOGE could move more freely assuming it can first clear the $0.21 resistance.

If bulls manage to push the price through the $0.18 and $0.21 barriers, a sustained rally toward $0.36 could follow more easily due to limited overhead supply pressure.

What Happens if Dogecoin Gets Rejected?

On the flip side, if DOGE fails to break through these resistance levels, it may have to rely on strong support from in-profit holders. These are investors who bought at lower price levels and may view any dip as a buy-the-dip opportunity.

The largest support zone below the current price lies all the way down at $0.07, where over 20% of Dogecoin’s supply was acquired. This massive support base suggests that, should the price drop significantly, there’s potential for strong demand to step in and stabilize the market.

Outlook: Resistance Heavy, But Path Clear If Broken

Dogecoin is at a critical juncture. While strong resistance lies ahead, especially at $0.18 and $0.21, a clean breakout could open the door to much higher levels. Traders and investors should keep a close eye on these price points especially as on-chain data continues to play a vital role in shaping market expectations.

As always, market sentiment, volume, and macro trends will also influence how DOGE performs around these critical resistance and support levels.