Dogecoin Price Analysis: Key DOGE Indicator Flashes Buy Signal

• TD Sequential buy signal emerges as Dogecoin tests $0.09 support after dropping 18% in one week.
• Analysts note liquidity sweep at key demand zone following four months of price consolidation action.
• RSI approaches oversold at 32.85 while Bollinger Bands expand, signaling potential volatility ahead.

Dogecoin has triggered a notable technical signal that could mark a potential turning point for the struggling meme coin. The TD Sequential indicator just flashed a buy signal for DOGE, according to prominent analyst Ali Charts. 

This development comes as the token tests critical support levels around $0.09 after a brutal week of selling pressure. The crypto has fallen approximately 18% over the past seven days amid broader market corrections. 

TD Sequential Flags Potential Trend Reversal

Ali Charts brought attention to the TD Sequential “9” buy signal appearing on Dogecoin’s daily chart. This technical indicator identifies potential trend reversals by tracking nine consecutive closes that register lower than four sessions prior. 

DOGE tumbled from $0.11 to $0.09 in early February 2026 before triggering this signal.

The TD Sequential has proven reliable in past DOGE setups, according to historical analyses.

Similar signals have preceded bounces ranging from 20% to 50% in comparable market conditions. These rebounds typically occurred when the indicator flashed during oversold periods at key support levels. 

Major Liquidity Sweep Targets Demand Zone

Analyst BitGuru provided complementary analysis highlighting Dogecoin’s strategic price action near current levels. 

The token recently swept major downside liquidity positioned near $0.09, effectively clearing accumulated sell orders. This liquidity grab often precedes reversals as weak hands exit positions and stronger buyers accumulate.

DOGE now rests at a long-term demand zone following four months of consolidation between $0.10 and $0.15. BitGuru’s TradingView chart marks previous “bullish beauty” rallies that originated from similar demand areas. 

The analysis suggests that if buyers successfully defend this zone, a sharp mean-reversion move toward prior range highs becomes increasingly likely. The consolidation period has allowed the market to build a base for potential upside. 

Failure to hold this level, however, could trigger further downside as support levels evaporate.

Technical Indicators Show Oversold Conditions

Current technical analysis reveals Dogecoin trapped in a persistent bearish structure characterized by lower highs and lower lows since late 2025. 

The price recently touched the lower Bollinger Band near $0.0907, a classic signal of potential short-term oversold bounces. The bands themselves are expanding, reflecting heightened volatility and the possibility of sharp intraday price swings in either direction.

The Relative Strength Index currently reads 32.85, hovering just below the 33.50 signal line. This positioning indicates the market is approaching oversold territory, though it hasn’t reached deeply oversold levels below 30 yet. 

Volume analysis tells an interesting story: selling pressure spiked significantly during the recent drop, confirming strong bearish momentum. 

A subsequent green candle demonstrates buyers stepping in at support, though overall momentum remains comparatively weak. The 20-day simple moving average near $0.114 has consistently rejected recovery attempts, reinforcing the dominant bearish trend.

Critical Price Levels Define Path Forward

Immediate support for Dogecoin sits firmly at $0.090–$0.092, marked by the lower Bollinger Band and the recent swing low. This zone represents the last line of defense before potentially deeper losses. 

On the resistance side, the 20-day SMA at $0.114 presents the first major obstacle for any recovery attempt. Bulls need to reclaim this level with convincing volume to suggest genuine strength.

A stronger resistance barrier exists at $0.138 near the upper Bollinger Band and previous consolidation highs. Breaking above $0.114 would represent an initial victory for buyers, but sustained recovery requires clearing $0.138 decisively. 

These levels, alongside volume patterns, will gauge whether current support holds or crumbles under continued pressure.