Dogecoin (DOGE) has successfully broken through a key descending triangle resistance level after two previous rejections, signaling a potential shift in market control from sellers to buyers. According to technical analysis, the third attempt resulted in a full-bodied candle closing decisively above the resistance zone, which analysts interpret as a confirmation of breakout conviction rather than mere hesitation.
The descending triangle pattern, typically considered a bearish continuation structure characterized by lower highs and flat support, has resolved upward in this instance. Analyst TATrader_Alan highlighted that each failed attempt wasn't just a rejection but represented building pressure underneath the resistance. "By the third attempt, that pressure cracked the ceiling," the analysis notes, suggesting that seller control gradually weakened with each test.
Following the breakout, the former resistance zone around $0.088 is now expected to flip and act as support. This technical shift indicates that buyers are beginning to dictate price action rather than merely participating. However, the broader market context remains cautious.
Recent 24-hour spot flow data from CoinGlass reveals a nuanced picture. While most timeframes (15-minute, 30-minute, 4-hour, 8-hour, 12-hour, and 24-hour) show positive net capital inflows into Dogecoin, the magnitude of these inflows is relatively small. The 24-hour window recorded inflows of $96.73 million against outflows of $91.90 million, resulting in a net inflow of just $4.83 million. Similar modest net inflows are seen across other periods ($2.72 million over 8 hours, $716,000 over 12 hours).
This data suggests that while buyers are present, they lack overwhelming conviction, creating a tightly contested market that has kept DOGE's price action range-bound below the $0.10 level. Analyst Ali Martinez points out that Dogecoin's price structure on the 12-hour chart remains in a compression phase below a descending trendline. A recent failed breakout attempt has pushed the price back into the pattern's body, potentially setting up a test of the crucial support-turned-resistance zone at $0.088.
The immediate technical outlook hinges on this level. A successful defense of $0.088 by buyers could stabilize the price for another attempt at the descending trendline. Conversely, a breakdown below this support would invalidate the bullish structure and likely hand control back to the bears.
