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Dogecoin, the largest dog coin by market cap, may be preparing for a major move, crypto analyst Ali noted in a recent post. Ali highlighted the likelihood of this move being to the upside as several indicators align. A move to the upside in this scenario has the potential to reach $0.177 if a major resistance level where 30 billion $DOGE were previously transacted is surmounted.
In a five-point post, Ali highlighted key reasons why he believes Dogecoin may be setting up for a parabolic move.
According to Ali, a well-known indicator, the Tom DeMark Sequential flashed a buy signal on Dogecoin's monthly chart last month, pointing to a potential trend reversal.
4/5 The key resistance to watch sits around $0.0813, where more than 30 billion $DOGE were previously transacted.
— Ali Charts (@alicharts) August 15, 2026
A sustained close above this level could signal further upside, with the next URPD resistance at $0.177. pic.twitter.com/nrJLiXNxCE
Ali indicated that Dogecoin's current setup closely resembles that of August 2022, when the coin formed an inverted hammer alongside a TD buy signal, which was followed by a doji candle. This setup was followed by a 145% monthly rally.
$DOGE is now showing a similar pattern: an inverted hammer, a TD buy signal, and a developing doji candle. If history repeats, the next monthly candle could spark a significant move.
While the current technical setup remains positive, whales appear to be positioning for upside. Over the past week, large holders have accumulated more than 430 million $DOGE, adding conviction to the bullish technical setup.
$0.177 highlighted as potential target
Dogecoin has traded sideways between $0.068 and $0.08 since June 25. Dogecoin trades at $0.069, with a death cross recently appearing on its hourly chart.
If Dogecoin sees a trend reversal as indicated above, the key resistance to watch for the dog coin sits around $0.0813, according to Ali, where more than 30 billion $DOGE were previously transacted.
Dogecoin saw a sharp rejection from this key level on June 23 and has since turned into a key level to watch for Dogecoin's next move.
A sustained close above $0.0813 could signal further upside, with the next URPD resistance at $0.177, Ali noted.
If $DOGE manages to reclaim $0.0813 and convert this level to support, it might break out of its current range and attention could shift toward the next major resistance level.