If Dogecoin price continues on its path, DOGE could kickstart 110% rally

Dogecoin (DOGE) price has shown incredible bullish momentum that has allowed it to clear a declining weekly trend line that has served as a hurdle for the past year. Hence, the recent development is bullish for DOGE holders.

Read more: Dogecoin futures open interest jumps to 7b DOGE, indicating risky bets

Dogecoin price ready to fly high

Dogecoin (DOGE) price shows signs of slowing down after clearing a multi-month trend line connecting the swing highs formed since October 2022. The near-10% rally witnessed last week has caused DOGE to breach this hurdle. 

As a result of this move, Dogecoin price has even bounced off the $0.0707 support level and is currently attempting to overcome the $0.0814 hurdle. If successful, DOGE could trigger a 110% upswing to the next critical resistance level of $0.0170. 

Supporting this massive rally in Dogecoin price is the Relative Strength Index (RSI), which has surpassed the 50 mean level, signaling a stark rise in bullish momentum. The Awesome Oscillator (AO) histograms are reducing in size below the zero line and are close to tipping over above it. A successful push above the zero line could see Dogecoin price kickstarting a massive uptrend. 

Read more: Dogecoin Price Prediction: DOGE in a fit to break $0.0786 after three unsuccessful attempts

DOGE/USDT 1-day chart

On the other hand, if Dogecoin price produces a weekly candlestick close below the immediate support level of $0.0707, it will signal signs of trouble. In such a case, DOGE could slip into consolidation between the $0.0707 and $0.0574 barriers. 

But a weekly candlestick close below the $0.0574 support level will invalidate the bullish thesis by producing a lower low. This development could see DOGE crash 14% and encounter the $0.0495 support level.