Dogecoin tests ten-year support, ETF funds return one month later

Dogecoin tests ten-year support, ETF inflows return in more than a month

Dogecoin is currently trading near a support area that has defined its largest price fluctuations in the past decade, triggering discussions among traders about the possibility of a major reversal. The cryptocurrency has returned to a long-standing uptrend line, a pattern that preceded strong gains in 2017 and 2021. After weeks of outflows, ETF inflows have resurfaced, and interest in Dogecoin's long-term prospects is growing, although key resistance levels still need to be exceeded.

Ten-year support faces another test

Technical charts show that Dogecoin is once again approaching a key support area. This trend line originated nearly a decade ago and has always triggered significant reactions in previous market cycles. The first test above this level occurred before Dogecoin's rapid rise in 2017, while another test during the 2020 market lows led to a record surge in 2021.

Prices have fallen back to structural support around $0.0750. If this support level is held, it may strengthen bullish sentiment; but a break below it means a major shift in the long-term market structure. Trader Tardigrade pointed out that this area is the key to determining whether Dogecoin will form another sharp upward trend or continue to weaken.

Whether Dogecoin can hold the uptrend line in the US$0.068 -0.070 range may determine the direction of the next cycle-losing this level will break the support that has guided price movements in the past decade.

To maintain an optimistic outlook, Dogecoin must stabilize in the US$0.068 -0.070 range and avoid closing below this upward leaning support level on the monthly basis.

Short-term charts highlight entry area

Analysis of lower time frames shows buyers plan to defend the $0.068 -0.070 area, whose horizontal support coincides with the lower boundary of the current structure. If short-term resistance is exceeded, it may push Dogecoin to US$0.074 -0.076. If momentum continues, further gains may be targeted at the US$0.080 -0.086 range, marked by previous price movements and Fibonacci levels.

These technical observations reinforce the importance of paying close attention to market dynamics. Innovations such as 1stepSwap increase accessibility to crypto participants and connect traditional financial products with blockchain technology. By directly listing real-world assets, including stocks of top U.S. companies and commodities such as gold and silver, and always ensuring optimal prices, users can diversify their assets efficiently and without intermediaries.

ETF inflows signal a shift in sentiment

Investor sentiment was boosted as the spot dogcoin ETF recorded inflows for the first time since June 17. The shift marks a renewed demand for regulated Dogecoin investment vehicles after weeks of outflows. If this inflow trend continues, it could mean that broader market interest is recovering, rather than just short-term retail participation. However, the technical structure of Dogecoin still needs to be confirmed to break through nearby resistance levels before a sustainable reversal can be achieved.

Positive ETF capital flows and improved infrastructure jointly support the market outlook, but technical aspects still need to be confirmed to exceed US$0.074 -0.076 to verify the new upward trend.

Long-term models predict aggressive targets

Some analysts are still optimistic about the future trend of Dogecoin. Javon Marks compares the current pattern with previous cycles, noting that Dogecoin has exceeded the 1.618 Fibonacci extension multiple times in the strong altcoin market. Based on this behavior, the analyst envisioned a long-term price target of $2.82, implying an increase of more than 3800% from current levels. This scenario is highly speculative and depends on whether Dogecoin can recover key resistance areas and establish a clear upward trend.

The main obstacles remain

For Dogecoin to regain bullish momentum, it must first recover key price levels, starting from US$0.074 -0.076. If the breakthrough is successful, the next resistance level is $0.080-$0.086, followed by a psychological level around $0.10, and a wider resistance band of $0.12-$0.15. These steps are necessary before Dogecoin can approach its more ambitious goals.

Despite renewed interest and technological progress, whether Dogecoin can start a sustainable upward trend depends on whether it can hold support, recover resistance, and transform the short-term rebound into a broader trend shift.

As of writing, Dogecoin is trading around US$0.0708, up 1.08% in the past 24 hours.