As excitement builds ahead of the anticipated altcoin season, analysts are closely watching Dogecoin (DOGE) for signs of a breakout. Despite recent volatility, a new forecast suggests that DOGE could reach as high as $2.03, provided the market enters a strong bullish phase. This projection is based on a detailed Fibonacci extension analysis, which outlines both conservative and ambitious price targets for the meme-fueled cryptocurrency.

DOGE Price Update: A Modest Recovery in Progress

At the time of writing, Dogecoin is trading at $0.1911, having gained 4.88% in the past 24 hours. However, it still reflects a weekly decline of 1.58%, showing that the coin remains under short-term pressure. Despite this, long-term analysts are beginning to paint a more optimistic picture for DOGE’s future.

Fibonacci Extensions Reveal Bullish Price Targets

Crypto market analyst Matters, active on the X platform, recently published a chart that uses the Fibonacci extension tool to forecast DOGE’s potential price trajectory. The analysis builds on historical price data, referencing Dogecoin’s all-time high of $0.73 as a baseline.

From this, the analyst identifies a green trendline on the weekly chart, which suggests Dogecoin could resume a long-term upward trend during the upcoming altcoin rally.

According to Matters, the 1.618 Fibonacci extension level marks the minimum target, placing DOGE at $1.2750. If bullish momentum intensifies, the next price point lies at the 2.0 extension, which equates to $1.5643. The most ambitious target in this projection, the 2.618 level, points to a potential high of $2.0324, assuming Dogecoin benefits from a strong altcoin season tailwind.

Short-Term Support Zones Mapped by Retracement Levels

Matters also explored short-term retracement levels to identify areas where Dogecoin could find support in the event of a pullback. According to his June 8 update, the 0.786 retracement level at $0.1711 may act as an early support point during a dip.

A deeper correction, however, could push DOGE toward the 0.886 level at $0.1351, while a severe downturn might send the price all the way to $0.0899, a level marked by a yellow line in the chart. This would likely represent a cycle low if market conditions deteriorate significantly.

Conversely, on the upside, Matters emphasised that $0.4390 may act as a strong resistance level, one that bulls will need to overcome to unlock the next leg of the rally.

Related article: Dogecoin Drops Below Crucial Support as Bears Regain Control

Dogecoin’s Golden Cross Signals Bullish Potential

Adding further momentum to the bullish narrative, trader Tardigrade observed a golden cross pattern on DOGE’s 4-hour chart. This technical formation occurs when the 20-period simple moving average (SMA) crosses above the 50-period SMA, a pattern that historically signals a trend reversal.

According to Tardigrade, a similar golden cross appeared between May 6 and 9, just before a notable price surge. The current crossover has been followed by a familiar bullish candle formation, hinting at another potential rally for Dogecoin in the near term.

Final Thoughts: Will DOGE Ride the Next Altcoin Wave?

While short-term volatility persists, Dogecoin’s technical indicators are beginning to show signs of strength. With Fibonacci extensions suggesting upside targets of $1.27 to $2.03 and a golden cross supporting the short-term bullish outlook, DOGE may be well-positioned for a breakout if broader altcoin sentiment improves.

However, traders should remain cautious and monitor key support and resistance zones, as corrections remain possible. As always, risk management and long-term strategy are crucial, especially when dealing with high-volatility assets like Dogecoin.