Dogecoin Gains Momentum Post ‘Double Bottom’ Formation

Dogecoin Rises Over 2% Following Bullish Double Bottom Signal

Dogecoin (DOGE), the largest meme coin by market cap, is showing renewed bullish energy after forming a double bottom pattern during overnight trading.

In early Asian hours, DOGE climbed more than 2%, pushing its price past $0.16. This rebound helps offset Monday’s drop, when the coin fell from $0.1663 to $0.1567, according to CoinDesk data.

Analysis from CoinDesk’s AI tools shows DOGE established a double bottom pattern between $0.157 and $0.158, paired with elevated trading volume. The bounce parallels Bitcoin’s own recovery, as BTC rebounded from around $105,200 to $107,000 overnight.

A double bottom pattern often indicates a potential shift from bearish to bullish sentiment, as it features two lows at similar levels separated by a brief rally. When the price moves above the interim high—as has happened with DOGE—it signals a trend reversal.

Still, while DOGE is enjoying short-term gains, it remains in a broader downtrend that’s persisted since mid-May, marked by lower highs. A decisive move above the recent resistance level at $0.17, set over the weekend, would be necessary to reverse the wider bearish outlook.

CoinDesk AI Key Takeaways:

• DOGE carved out a distinct double bottom near $0.157–$0.158, with trading volume surging, particularly between 13:00 and 14:00 UTC on July 1.
• The asset rose steadily to finish at $0.161, with increasing volume confirming growing buyer demand.
• From 05:37 to 06:36 UTC on July 2, DOGE added 0.36%, moving from $0.1605 to $0.1611.
• Price action created an upward channel, featuring significant volume spikes at 06:06 and 06:07 UTC, with trades exceeding 4.4 million and 6.0 million tokens, respectively, showing strong buying interest.
• After touching a local high of $0.1611 at 06:14 UTC, DOGE briefly dipped to $0.1606 before recovering to close the hour at $0.1611.