Dogecoin (DOGE) Shows Weak Downtrend as Traders Watch $0.23 Breakout Level

Dogecoin (DOGE) is sending mixed signals on the charts, with analysts highlighting a potential bearish setup in the short term. However, many are also keeping an eye on the $0.23 level, which could unlock upside momentum if broken.

Key Takeaways

• Dogecoin’s Ichimoku chart shows a weak bearish signal while price consolidates inside a symmetrical triangle.
• The monthly Rate of Change (ROC) indicator remains flat, hinting that DOGE’s next big bull cycle hasn’t started yet.
• A decisive breakout above $0.23 could push DOGE toward higher resistance levels, with short-term bullish potential.

Ichimoku Signals Short-Term Weakness

DOGE is currently consolidating with uneven signals across multiple timeframes. In the daily Ichimoku chart, trader Tardigrade noted a weak bearish Tenkan-sen/Kijun-sen cross above the Kumo cloud on August 31. This points to short-term downside pressure, although the price remains inside the Kumo cloud—a sign of ongoing consolidation.

#Dogecoin Ichimoku Daily Analysis for Trading (as of 31 Aug close)

New Signal:
– Tenkan-sen/Kijun-sen Cross: Weak bearish cross above Kumo (cloud) on 31/8

Comment:$DOGE remains within the Kumo, indicating consolidation.
A weak bearish Tenkan-sen/Kijun-sen Cross signals a short… pic.twitter.com/NLhw21Jg1O

— Trader Tardigrade (@TATrader_Alan) September 1, 2025

At the time of writing, DOGE trades at $0.21, down 3% in 24 hours and 6% in the past week. Immediate support lies at $0.21517, while resistance levels are seen at $0.22194 and $0.22444, near the top of the Kumo cloud.

Although the broader trend remains neutral, the Ichimoku cloud still shows a longer-term bullish bias thanks to the green Kumo structure. However, the short-term outlook leans bearish, with sideways momentum in the mid-term.

According to Tardigrade:

“A weak bearish Tenkan-sen/Kijun-sen cross signals a potential short setup.”

Monthly Chart Suggests Bull Cycle Hasn’t Begun

On higher timeframes, the monthly Rate of Change (ROC) indicator continues to move sideways. This suggests that DOGE’s larger bull market phase has not yet begun. In both 2017 and 2021, massive rallies were preceded by sharp ROC spikes—something that has yet to appear on the current chart.

Tardigrade highlighted this observation, stating:

“The monthly ROC shows that Dogecoin’s bull run for this cycle hasn’t started yet.”

Analysts believe that momentum could return in the coming months if historical patterns repeat.

Triangle Pattern Hints at $0.23 Breakout Watch

Meanwhile, analyst Ali Martinez pointed to a symmetrical triangle forming on the 4-hour chart. DOGE has been consolidating inside this range since late July. If the price breaks above $0.23, it could spark a short-term rally toward $0.2431, $0.2596, $0.2823, and even $0.3140.

On the downside, immediate support sits at $0.2217 and $0.21. Until a breakout occurs, traders expect DOGE to remain in a tight range.

Martinez summarized it simply:

“A breakout above $0.23 could mark the beginning of a new bull rally.”

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