Dogecoin needs to close above $0.1 for bullish momentum to continue

• Dogecoin bulls should wait for price to rise above $1 before going long
• Contract triangle includes price action
• $0.6 support should hold

Dogecoin is up more than 50% before the recent correction begins, following the bullish trend to be seen in the cryptocurrency market in 2023. But the surge in the first half of the year pales in comparison to what we saw in late November.

In fact, since then, Dogecoin has been unable to break the series of lower highs, putting a big question mark on its ability to rise. However, the bulls should be patient and wait until the market rises above $0.1 as it looks like a pivotal level for Dogecoin.

DOGEUSD chart by TradingView

Daily close above $0.1 opens gate for further upside

The contraction of the triangle that formed on the four-time frame and Dogecoin’s price action since late November has been subdued. Therefore, the safest way to trade this market is to wait for price action to break above or below the triangle trendline.

Judging by the market’s resilience to break below the $0.06 support level, we expect the triangle to end in a bullish breakout.

However, bulls may want to wait for the top of the triangle to break before going long. In such a move, the bulls should target the resistance seen at $0.16 and place a stop loss order at $0.8. As such, the risk-reward ratio makes sense from a money management perspective.