Dogecoin price signals potential double bottom at $0.12, reversal forming?

Source: CryptoNewsNet Original Title: Dogecoin price signals potential double bottom at $0.12, reversal forming? Original Link: Dogecoin (DOGE) price is beginning to attract attention from technical traders as price action stabilizes around the $0.12 support zone, an area that has historically acted as a strong floor. After a prolonged period of weakness, the memecoin is now displaying early characteristics of a double bottom formation. This classic bullish reversal pattern often appears near the end of downtrends.

While confirmation has not yet occurred, the structure forming on the chart suggests that downside momentum may be weakening, provided key support continues to hold.

Dogecoin price key technical points

• $0.12, High-time-frame support and base of the potential double bottom
• Point of Control (POC), First major resistance within the current range
• $0.15, High-time-frame resistance and upside rotation target

The potential double bottom on Dogecoin is forming at a technically significant location. The first reaction into the $0.12 region established initial demand, while the second retest held that same level, signaling that sellers were unable to push the price to new lows. This inability to break support often reflects seller exhaustion, a prerequisite for trend reversals.

From a market-structure perspective, Dogecoin has been in a clear downtrend, characterized by lower highs and lower lows. Double bottom formations are especially meaningful in this context, as they often mark the transition from bearish control to a more balanced or bullish environment.

However, it is important to note that a double bottom is not confirmed until key resistance levels are reclaimed. At present, Dogecoin remains below the Value Area Low, meaning price is still trading beneath fair value. For a structural shift to occur, DOGE must reclaim this level on a closing basis, signaling acceptance back into value.

The Point of Control represents the first major test for bulls. This level corresponds to the highest traded volume within the recent range and often acts as a magnet for price during rotational moves. A successful reclaim of the POC would significantly increase the probability of a continued move toward the $0.15 resistance, which defines the upper boundary of the broader trading range.

Volume behavior will play a critical role in determining whether this potential reversal can mature. Reversal patterns that form without an increase in bullish volume often fail, resulting in further consolidation or renewed downside.

Conversely, expanding volume on reclaim attempts would suggest genuine demand entering the market, a factor increasingly emphasized by AI-driven analyses for various cryptocurrencies including Dogecoin.

Another important factor is time spent above support. The longer Dogecoin can maintain price action above $0.12 without aggressive selling pressure, the stronger the validity of the double bottom becomes. Failed double bottoms typically occur when price quickly loses support after a brief bounce, which has not yet happened in this case.

From a price-action standpoint, current behavior supports cautious optimism. Buyers are defending $0.12, while sellers appear less aggressive than during prior declines. This shift does not confirm a trend reversal on its own, but it does indicate that downside momentum is no longer dominant.

What to expect in the coming price action

As long as Dogecoin remains above the $0.12 support, the potential for a bullish reversal remains intact. A confirmed double bottom could lead to a rotation toward the point of control and eventually $0.15.

However, without volume confirmation and a clear structural reclaim, the pattern remains developing rather than complete.