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Dogecoin’s recent rally has solidified its position as a key player on the crypto market, earning it the handle of the King of Crypto. DOGE achieved a higher high on the weekly chart after breaking through a crucial high-time frame (HTF) resistance level of $0.32 — a potent technical indication of ongoing bullish momentum. An important HTF resistance that DOGE has successfully overcome is $0.32, as shown on the chart and highlighted by Skew analytics.

This breakout is crucial because it indicates a structural change in the asset's trend, opening the door for short-term price stabilization between $0.32 and $0.40. These days, the $0.40 mark is a crucial target for bulls. The likelihood of additional upward movement increases if this level holds. Furthermore, a pivot point is the 0.5 Fibonacci retracement level at $0.398.

A firm close above this level could act as a launchpad for DOGE, increasing its price velocity. Because of this, $0.42 is a crucial level that initiates the rally's subsequent leg. At $1.16, the chart also makes reference to the 1.618 Fibonacci extension. Even though this goal might seem lofty, DOGE could enter this zone if technical strength and market momentum work together.

More general market conditions, investor sentiment and DOGE holding its position above the $0.42 threshold all influence the possibility of reaching such a level. It would probably increase volatility and produce explosive upward moves if this area were to be crossed. For the week ahead, DOGE may establish a balance between $0.32 and $0.40 as traders consolidate gains and await the next catalyst. The likelihood that DOGE will test higher Fib extension levels, however, rises sharply if bullish momentum keeps picking up speed.

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.