Dogecoin (DOGE) Has Completed a W-X-Y-X-Z-shaped Long Corrective Structure

Dogecoin (DOGE) has completed a W-X-Y-X-Z-shaped long corrective structure on the higher time frames

Dogecoin (DOGE) has completed a W-X-Y-X-Z-shaped long corrective structure on the higher time frames, and now seems to be entering the initial phase of a new upward impulsive wave.

This is a common occurrence in technical analysis, where complex shapes in price action are used to identify potential trend reversals or continuations.

After a sharp rally, the price is consolidating, with a retracement to important support levels based on Fibonacci and price structure.

This consolidation phase is providing an opportunity for buyers to rejoin the market and sellers to exert some pressure, setting the stage for a potential breakout.

The Elliott Wave count also indicates that wave (iv) has completed, and wave (v) is likely to begin soon. If this is confirmed, it will create a bullish setup opportunity.

So, how is the current Dogecoin price movement?

Dogecoin Price Rises 2.00% within 24 Hours

On Saturday, 20/05/2025, Dogecoin saw a 2.00% rise over the past 24 hours, with its price climbing to $0.2267, or approximately IDR 3,714. During the day, DOGE traded as low as IDR 3,351 and reached a peak of IDR 3,788.

At the time of writing, Dogecoin’s market cap stands at around $33.89 billion, with trading volume dropping 23% to $2.01 billion within 24 hours.

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DOGE Price Analysis

As reported by CCN, on DOGE’s 4-hour chart, it shows that the W-X-Y-X-Z-shaped long-term corrective decline has been completed, reaching a low of $0.131 on April 7.

This low point became the start of a sharp upward movement, breaking the descending wedge pattern and invalidating the previous bearish market structure.

After that, there was a significant impulsive spike, with DOGE prices reaching almost $0.26 – close to the 0.382 Fibonacci level – before starting to consolidate.

The retracement is currently around the 0.236 Fibonacci level at $0.214, and this zone is being tested as support.

The RSI (Relative Strength Index) indicator is in neutral territory, around the 50 mark, indicating that the price movement is declining from overbought conditions without showing strong bearish momentum.

DOGE is also testing a horizontal zone that was previously resistance and now serves as support, in the $0.215-$0.220 range. This zone reinforces support along with Fibonacci levels.

If this zone is successfully defended, it could confirm the start of wave (v) towards new local highs. But if this support fails to hold, DOGE risks a deeper retracement, potentially back to $0.18 or lower.

Overall, the price structure and momentum indicators point to a healthy correction within the broader uptrend. However, a higher low formation and breakout from consolidation are required to confirm the continuation of the bullish trend.

If this pattern breaks down, it could open the door for further gains towards the 0.5 Fibonacci level around $0.18.

On the 1-hour chart, DOGE is forming a descending triangle pattern that appears to be completing the last wave (e) of the corrective structure (a)-(b)-(c)-(d)-(e). This pattern generally precedes breakouts and trend continuation.

The current support zone around $0.215 in line with the horizontal structure and the 0.236 Fibonacci level provides a strong basis for a potential bullish reversal.

Also, wave (iv) seems to be almost complete, having experienced a retracement from the $0.265 high to the $0.215 area.

Once wave (e) ends, a new bullish wave (V) is expected to form and target key Fibonacci extension levels.

Based on the wave height (iii), the 1.618 extension target points to $0.258, while the 2.0 extension target is at $0.280 – which means a potential upside of about 31% from the current price level.

The RSI on the 1-hour time frame has almost reached oversold territory, supporting the possibility of an upward price bounce in the near term.

If DOGE manages to bounce and break $0.223 upwards