Buy the Dip? DOGE Breakout Could Lead to $1.70 Surge

TL;DR Dogecoin prints a TD Sequential buy at $0.263 after a sharp 10% price ￰0￱ chart breakout offers 1:29 risk-reward setup with a projected target near $1.70. Open Interest climbs as shorts pile in, setting up conditions for a possible short squeeze. Short-Term Signal Appears After Pullback Dogecoin (DOGE) was trading at $0.26 at press time, with a 24-hour trading volume of $6.15 ￰1￱ asset has dropped 10% in the past day but remains up 13% over the past ￰2￱ recent drop comes after a multi-day rally, and one technical tool now points to a possible pause in the ￰3￱ analyst Ali Martinez shared that the TD Sequential indicator has printed a buy signal on the 4-hour ￰4￱ setup appeared near the $0.263 ￰5￱ tool is often used by traders to spot potential reversals after extended moves in either ￰6￱ to Martinez, Buy the Dogecoin $DOGE dip, says the TD Sequential indicator! ￰7￱ — Ali (@ali_charts) September 15, 2025 While the signal may suggest that sellers are losing strength, traders will likely wait for further signs, such as a shift in volume or price confirmation, before ￰8￱ Confirmed on Weekly Chart A broader pattern has formed on the weekly ￰9￱ to Trader Tardigrade, DOGE has broken out of a long-term symmetrical triangle, which formed over several months and is marked by converging highs and lows.

Interestingly, the breakout came with a candle close above the upper trendline, pointing to a possible move ￰10￱ setup carries a projected 1:29 risk-to-reward ratio, with a target near $1.70. The suggested entry zone is around $0.27, while downside risk is placed below $0.20. These types of structures are commonly used to frame trades around breakout zones after long periods of price ￰11￱ addition, DOGE may also be forming a Power of Three (PO3) setup on the 1-hour ￰12￱ model divides the price action into three stages: accumulation, manipulation, and ￰13￱ chart shared by Trader Tardigrade shows DOGE moving from a sideways range into a short decline, often viewed as the manipulation phase. $Doge /hourly #Dogecoin might be forming a Power of Three (PO3) trading setup ￰14￱ — Trader Tardigrade (@TATrader_Alan) September 15, 2025 If the setup plays out as expected, the price could shift into the distribution phase, which typically involves a move ￰15￱ this case, the next resistance area is seen around $0.33, based on past ￰16￱ Pressure Builds at Local Lows On lower timeframes, DOGE is seeing increased short ￰17￱ Cryptoinsightuk noted that Open Interest rose to 9.02 billion, while the funding premium turned negative at ￰18￱ volume also increased, showing higher market ￰19￱ analyst stated, “Likely to see a strong reversal bounce at some point soon as these late shorts get squeezed.” In a downtrend, where a negative premium may also exist, and during which open interest increases, it is hazardous to think of the selling parties taking a position late in the ￰20￱ buyers do come through, short positions may be unwound with haste.

A price drop shall manifest itself, assisting one in deciding whether this is a favorable bounce or the onset of an extensive reversal.