Dogecoin to the Moon? Price Eyes $0.27

After many months of sluggish and sideways price action, Dogecoin (DOGE) may finally be on the verge of a significant breakthrough. Recent price volatility, technical signals, and broader macroeconomic trends seem to be converging in a way that is favorable for DOGE. The technical breakthrough from the descending channel According to the analysis, Dogecoin has officially broken out of the descending channel, a pattern that has limited price increases since the beginning of the year. This breakout is further confirmed by successfully retesting the previous resistance level, which has now turned into a support level, indicating that a bullish reversal is taking place.

The immediate resistance level is at 0.27 dollars, but continuous bullish pressure could push DOGE to 0.39 dollars and even 0.43 dollars in the coming weeks. Meanwhile, the support level around 0.17 dollars provides a safety net in case of a short-term pullback. Short-term price action and Elliott wave analysis Recent price action shows that Dogecoin is in a micro-adjustment phase, currently holding above the key support zone between $0.17 and $0.1777. This zone has previously been identified as a micro-support level, and the market has reacted accordingly, implying that the fifth wave in the Elliott wave sequence may be beginning. Among the current wave counts, analysts identify a potential three-wave upward move, with Wave 3 peaking near the 138% Fibonacci extension level at $0.196. If this structure holds, Wave 5 could extend to the 161.8% level at $0.206 or the 178.6% level at $0.213. A confirmed breakout above $0.185 would mean the next bullish phase is underway. However, a decisive drop below $0.17 would cause a temporary delay in the expected rally. Currently, the pullback seems to be corrective and shallow, in line with the ongoing uptrend. Macroeconomic trends: The relationship between Bitcoin, global M2, and Dogecoin In addition to charts, macroeconomic indicators are fueling the bullish case. A new emerging story attracting the attention of analysts is the correlation between cryptocurrency prices and the global M2 money supply — a measure of the world's money supply that includes cash, checks, and money that can be easily converted. According to a user, when applying a 110-day offset, there seems to be a consistent pattern between the increase in M2 and DOGE — excluding abnormal events such as the price surge following Trump's election.

If money continues to flow into assets like Dogecoin as global liquidity increases, especially during the summer, this correlation may become even more apparent - reinforcing the bullish technical trend.