On Friday, July 18, the crypto market experienced significant volatility, characterized by an impressive increase during Asian market hours that was followed by a sharp pullback when U.S. markets opened. One cryptocurrency illustrating this movement is Dogecoin, which saw a dramatic reversal from an intraday high of $0.254, currently trading at around $0.23. While such sudden sell-offs can instill fear among retail investors, crypto whales appear undeterred, signaling confidence in DOGE’s future potential.
Doge Rally Fueled by U.S. Crypto Bills and Billion-Token Whale Buys
The past three weeks have shown Dogecoin’s remarkable bullish uptrend, skyrocketing from $0.14 to $0.25—a staggering 78% increase. This rally can be largely attributed to the positive sentiment surrounding ‘CryptoWeek,’ during which the U.S. House of Representatives passed three pivotal crypto-related bills: the Clarity Act, the Genius Act, and the Anti-CBDC Act. These legislative advancements have contributed significantly to the market’s bullish outlook.
Additionally, the accumulation trend from prominent crypto whales has played a vital role in driving DOGE’s price upwards. Market analyst Ali Martinez reported that high-net-worth investors have bought up an astounding 1.08 billion DOGE in just 48 hours. Such activity demonstrates a strong belief among these investors regarding the cryptocurrency’s growth prospects.
Despite the intraday sell-off experienced by this meme coin, the ongoing accumulation by investors signals a robust confidence in a protracted price recovery, highlighting an intriguing dynamic in the market.
DOGE Price Stands at Pivot Level
An analysis of Dogecoin’s daily chart reveals that the recent price rejection occurred at the resistance trendline of a symmetrical triangle pattern. Since mid-February 2025, DOGE has been oscillating between two converging trendlines acting as dynamic support and resistance levels.
Historical data indicates that previous bearish reversals within this pattern have led to corrections ranging from 45% to 50%. Therefore, if the current price reversal gains momentum, it could lead DOGE to plunge 33% to $0.157 in a pessimistic scenario, instilling further caution among investors.
However, in light of the overarching bullish trend in the cryptocurrency market, it’s likely that Dogecoin’s price may experience a temporary pullback to $0.206 to regain its bullish momentum. A breach of overhead resistance could signal the closure of a major accumulation zone, positioning the asset for a significant upward rally.
