As of May 16, 2025, the DOGEUSD 4-hour chart shows that Dogecoin has created a bullish pennant pattern.

A bullish pennant is a continuation pattern that forms after a strong price rise, followed by a short period of consolidation between converging trendlines

May 16, 2025 - As the 4-hour chart of DOGEUSD shows, Dogecoin has formed a bullish pennant pattern.

A bullish pennant is a continuation pattern that occurs after a strong price move up, followed by a short period of consolidation between converging trendlines, before a possible breakout upward.

After a swift surge, the price tends to consolidate in a pennant pattern, typically characterized by decreasing volume, signifying a continuation of the prior uptrend.

The pennant’s flagpole is measured from the breakout point of the prior trend to the highest point of the pennant. Afterward, the price tends to move equal to the flagpole height from the breakout point of the pennant pattern.

In the case of Dogecoin, the pennant pattern is setting up after a rally of about 100% in 2025. The cryptocurrency surged from the lows of around $0.14 in March to highs of nearly $0.30 in April.

Following the strong gains, DOGE stalled and began forming a triangle pattern, which is usually a sign of consolidation after a strong trend.

The 50-period EMA (Exponential Moving Average) on the 4-hour chart is providing support at $0.22042. As long as Dogecoin stays above this moving average, the presumption is for more gains.

The RSI (Relative Strength Index) is flat and hovers at 50.15, indicating neutral momentum. However, a breakout above the upper pennant trendline could shift momentum in favor of buyers.

The breakout level appears at $0.238, which is slightly above the triangle resistance. If DOGE closes above this price with rising volume, the pattern would be confirmed. From the breakout point, the target is set around $0.33, based on the pennant’s flagpole height, which would be an increase of about 46%.

Overall, if volume increases and the price breaks above the pennant resistance, Dogecoin could enter a strong upward move toward $0.33. But if it fails to breakout, the price may retest the 50 EMA or drop to the base of the triangle, which is near $0.22.