Dogecoin traders eye $0.347 breakout as bullish signals pile up

Despite things in the cryptocurrency market not looking great with the new week’s start, Dogecoin (DOGE) might still break on through to the other side of the $0.347 critical resistance level as bullish signals continue to pile up.

Specifically, DOGE has been consolidating in a bull flag formation on the 12-hour chart, signalling a continuation in the direction of the prevailing trend, according to an analysis by popular pseudonymous crypto expert Trader Tardigrade shared in an X post on September 15.

Bull flag points to next target

As it happens, this pattern typically signals continuation in the direction of the prevailing trend and has already hit its first measured target. With the flag now nearly complete, the next projected move points directly to $0.347. If confirmed, this would represent a significant rally from current levels, reigniting bullish sentiment.

Power of Three setup unfolding

At the same time, on the hourly timeframe, DOGE appears to be forming a classic ‘Power of Three’ (PO3) trading setup: accumulation, manipulation, and distribution, per the crypto expert’s other observations on September 15.

Indeed, the recent sideways action suggests accumulation, while short dips could be interpreted as manipulation before the final distribution phase drives prices higher. If the setup plays out according to these expectations, Trader Tardigrade anticipates another strong upward leg, potentially aligning with the bull flag breakout.

Ichimoku signals remain bullish

Furthermore, the daily Ichimoku analysis reinforces the bullish case, with all the key components of the system currently favoring an uptrend. The price sits above the Kumo (cloud), the Kumo is green, and both the short- and mid-term signals point upward.

Even the Chikou Span, a lagging indicator that confirms momentum, has shifted above price, which is a sign of strength. The system’s overall score is firmly bullish at +4, highlighting strong market momentum, according to Trader Tardigrade’s additional analysis.

What comes next for DOGE

For the time being, DOGE is changing hands at the price of $0.2630, which indicates a decline of 9.37% in the last 24 hours, but nonetheless an increase of 12.5% across the previous seven days and an accumulated 13.87% growth on its monthly chart.

All things considered, the immediate levels to watch include resistance around $0.29, with the breakout target at $0.247. Support rests near the Kijun-sen at $0.247 and deeper within the Kumo between $0.215 and $0.224. As long as these levels hold, the broader trend remains intact.

If the bull flag breakout and PO3 setup confirm, Dogecoin could be gearing up not just for $0.247, but for a larger rally that tests higher resistance zones. For now, momentum seems to be on the bulls’ side, and traders are bracing for the next move.