The recent price action of Dogecoin has kept the meme coin trading within a tight range just below resistance levels, currently oscillating between $0.21 and $0.26.

Dogecoin has been confined to a narrow range just beneath key resistance levels, with current indications pointing towards a trading band of $0.21 to $0.26.

Over the past week, the meme coin has faced resistance at $0.25, posing a threat of a potential downturn. However, according to an analyst who shared a breakdown of Dogecoin's daily chart on X, the meme coin might experience further volatility before ultimately moving upward.

Analyst Predicts Shakeout to $0.21 Before a Move to $0.4

According to technical analyst Trader Tardigrade, Dogecoin appears to be in the second phase of a two-part consolidation pattern.

This structure formed after a brief consolidation following the rally in May. It began around $0.21, aligning with a swing pattern designed to remove weaker participants before the next bullish impulse.

Analyst predicts that this leg may deepen to $0.21 before Dogecoin gains strength for another attempt at breaking through the elevated resistance above $0.25. If successful, the next logical price target would be approximately $0.40, a level not seen since January 2024.

Examining the Resistance Zone Between $0.24 and $0.25

The resistance zone around $0.25, highlighted in thick red lines in the chart above, represents a reactive area that has acted as support in the past. Notably, this level also served as support during Dogecoin's initial decline in February when selling pressure was high, eventually turning into support. This breakdown altered the market structure, transforming what was once a support level into resistance.

Now, as Dogecoin attempts to recover from April’s low of $0.13, this $0.25 region has become a major obstacle to its upward momentum, with several recent attempts nearing this level. Breaking through this resistance zone will largely depend on broader crypto market conditions and inflows into the sector. However, before such confirmation occurs, Trader Tardigrade’s technical analysis suggests cautious prospects for day traders, especially considering the potential dip to $0.21.

At the time of writing, Dogecoin is trading at $0.2279, up 2% over the last 24 hours, with a recent intraday low of $0.2174. A bullish move from this level toward $0.40 would represent an 85% increase from the current Dogecoin price.