Dogecoin has been struggling to break out of its March and April bottom range. Despite a brief relief rally in April, the king of meme coins has mostly traded sideways — leaving traders wondering if a bigger move is coming.

Currently Dogecoin Price trading at $0.1570 as per Coinpedia Market data.

For a more detailed Dogecoin price prediction 2030, check out our full analysis!

Failed Rally, But Hope Isn't Lost

After a failed attempt to rally, Dogecoin showed some signs of stability. Like most top cryptocurrencies, it gained slight momentum in mid-April but couldn't sustain it. Weak demand has kept the price from gaining any meaningful ground, even as market conditions hinted at recovery.

Still, some analysts remain optimistic. One particular analysis suggests that Dogecoin's parallel channels — a pattern seen in past cycles — could indicate a major price movement ahead.

Parallel Channels: What History Tells Us

Historically, DOGE has formed multiple parallel channels, especially during its pre-rally phases. Since 2023, it has completed three significant ones, with the latest being a steep pullback from its December highs.

Analysts suggest these recurring channels could be a precursor to another breakout — as seen in past cycles, including as far back as 2016.

Is RSI Divergence Still in Play?

Earlier this month, Dogecoin hit a lower low in price compared to March. However, its Relative Strength Index (RSI) formed a higher low, creating a classic bullish divergence. This setup typically hints at a trend reversal or bounce.

Despite that, DOGE failed to deliver much upside last week, with price action staying mostly flat. This raises questions about whether the RSI divergence will still lead to a breakout or if momentum has fizzled out.

Money Flow Index Shows Signs of Recovery

The Money Flow Index (MFI) showed upward movement over the weekend, signaling that liquidity might be returning to DOGE. Meanwhile, spot outflows have slowed down to levels not seen since October 2024, suggesting selling pressure is easing.

Surge in Derivatives Signals a Volatile Week Ahead

Derivatives data points to growing interest in Dogecoin. Over the past 24 hours:

  • Derivatives volumes rose 16.57%

  • Options volume surged 230.64%

  • Open interest in DOGE options jumped 127.71%

This rise in activity is often a sign that traders are positioning for a large move. Notably, positive funding rates suggest that traders are leaning bullish — but such sentiment can also lead to leveraged liquidations if price dips.

In fact, Dogecoin saw $2.84 million in liquidations over the past 24 hours, with $2.17 million being long positions — triggered by a brief price drop.

What's Holding Dogecoin Back?

Despite these signals, Dogecoin is still struggling to recover strongly. Unfavorable macroeconomic conditions, including uncertainty around interest rate cuts, continue to hold back risk-on assets like crypto.

DOGE had a strong finish in Q4 2024, but it has since lost momentum. Unless broader market conditions shift or demand picks up, any bullish move may be limited in the short term.