Dogecoin (DOGE) dips below $0.10 as oversold RSI flags a buy setup
Dogecoin (DOGE) is trading around $0.096, down ~6% on the week, as the broader crypto market pulls back. Despite the selloff, several technical signals are turning bullish for DOGE.
Ali Martinez highlighted TD Sequential flashing a buy signal. If DOGE holds the $0.096 support, analysts expect a rebound toward $0.11. Other X commentators also see near-term upside, including targets around $0.108 and a potential continuation pattern reminiscent of 2024’s descending triangle breakout.
A key momentum metric supports the optimism: DOGE’s RSI has fallen below 30, typically interpreted as oversold and prone to a bounce. Separately, CoinGlass data shows DOGE exchange netflows with outflows outpacing inflows, suggesting reduced selling pressure as investors move funds toward self-custody.
While some very high price targets circulate (e.g., an all-time-high scenario), the article notes the required market-cap expansion appears unrealistic in the current environment. For traders, the immediate focus is whether DOGE can defend the $0.096 level and trigger a reversal based on RSI/TD Sequential.
Bullish
The article frames DOGE as a high-beta “mean-reversion” setup: price is weak, but momentum is stretched and selling pressure may be easing. RSI < 30 (oversold) plus a TD Sequential buy trigger often precede short-term bounces, especially when exchange outflows rise. Historically, meme coins tend to react quickly to oversold oscillators and liquidity shifts, producing sharp rebounds even inside broader market pullbacks.
Trading impact is likely strongest short-term: if DOGE holds the ~$0.096 support, traders may position for a rebound toward $0.11–$0.108, increasing demand and tightening spreads. If support breaks, the oversold thesis can fail quickly, turning the setup bearish and inviting further liquidation-driven selling.
Longer-term, the repeated references to past breakout behavior (2024 triangle/breakout) suggest market participants are watching for structure confirmation. However, the article itself cautions that extreme targets (e.g., very large market-cap expansion) are unlikely near-term, so any rally may be more realistic as a cyclical rebound unless wider risk sentiment improves.