Dogecoin Accumulation Phase Strengthens: Is a Bullish Breakout Toward $1.56 Coming?

Dogecoin Accumulation Phase Deepens — Bullish Signals Emerge for Next Major Price Rally

Dogecoin (DOGE) is once again entering a critical accumulation phase, potentially setting the stage for a powerful bullish breakout. With the price hovering around $0.2574 and consolidating above key technical support, investors are eyeing a possible surge that could eventually push Dogecoin’s price toward $1.56 in the next green phase.

This accumulation phase reflects growing investor confidence, increasing volume, and favorable technical setups — all classic signals that historically precede major uptrends in DOGE’s price cycle.

Understanding Dogecoin’s Price Cycle: Bear, Accumulation, Green

Since 2017, Dogecoin's price behavior has followed a repeating cycle:

• Bear Phase: After major rallies, DOGE often corrects or trades sideways, reflecting uncertainty.

• Accumulation Phase: Smart money and long-term holders begin quietly buying, stabilizing price.

• Green Phase: A strong bullish rally typically follows as demand outweighs supply.

These phases played out during the 2018–2020 and 2021–2023 periods. Now, in late 2025, Dogecoin appears to be completing its accumulation phase, which could soon transition into a new green phase — historically associated with explosive price moves.

Technical Analysis: Momentum Builds Near Support

Analyzing the Binance 1-hour chart, several key technical signals support the bullish case:

• Short-Term Uptrend: Since late September, Dogecoin has climbed steadily from around $0.23 to nearly $0.265, establishing a minor uptrend.

• EMA Support: Price candles remain above the 9-period EMA, currently at $0.2566, signaling near-term strength and support.

• RSI Behavior: The Relative Strength Index (RSI) hovers slightly above 50, reflecting neutral-to-bullish sentiment and ongoing consolidation.

• Volume Trends: Strong volume accompanied the initial rise, although recent volume has tapered off — a sign of either pause before continuation or a short-term correction.

If Dogecoin holds support near its current EMA, a bounce could lead to a retest of local highs. A breakout above resistance levels could confirm the beginning of the next leg up. Conversely, a breakdown below support — especially with increased volume — may indicate further consolidation before continuation.

Open Interest (OI) Signals Cautious Optimism

Open Interest (OI) has been rising steadily since late July, coinciding with DOGE’s move toward $0.30. This increase suggests a growing number of leveraged positions.

However, the recent price consolidation despite rising OI could signal the buildup of overleveraged long positions. Such divergence often precedes short-term liquidations or "squeezes", but can also be a sign of market participants positioning early for a breakout.

As it stands, Dogecoin’s elevated OI combined with stable price action reflects a cautiously optimistic market, awaiting a clear breakout or correction to define the next major move.

Why Dogecoin’s Current Accumulation Phase Matters

• Historical Pattern Repeats: Each previous accumulation phase has led to major green rallies. If history repeats, a breakout could take DOGE back toward $1.00+, with bullish projections aiming for $1.56.

• Investor Sentiment Improving: Accumulation signals that long-term investors are positioning ahead of the next cycle, showing belief in Dogecoin’s future growth.

• Technical Structure Supports Breakout: Consolidation above key EMAs, rising open interest, and stable RSI levels all align with classic pre-breakout conditions.

Price Outlook: Can DOGE Reach $1.56?

If Dogecoin follows the same macro cycle pattern that led to previous surges, a breakout from the current range could ignite a multi-month rally.

Key price targets include:

• Short-Term: $0.30 to $0.35

• Medium-Term: $0.50 to $0.75

• Long-Term: $1.00+ — with some models targeting $1.56 during the next green phase

Reaching these targets will require sustained volume, strong market sentiment, and broader crypto market support. But based on current trends, DOGE appears to be in a strategic position for upside movement.

Conclusion: Watch This Accumulation Phase Closely

Dogecoin's accumulation phase is showing promising signs, backed by technical strength and familiar cyclical behavior. Whether you're a short-term trader or long-term holder, this may be a critical time to monitor DOGE’s price action, volume, and key support levels.

If support holds and momentum returns, the next green phase could launch Dogecoin toward its most bullish targets yet — potentially testing or surpassing the $1.56 level in the coming months.