Dogecoin Price Eyes $0.31 as Open Interest Hits 30-day High

Dogecoin (DOGE) price jumps 11% today to hit the $0.2280 mark and marks a key level breakout. The Dogecoin breakout rally targets $0.31 as short liquidations hit almost $6 million. If the bull run continues, an $18.46 million short liquidation risk awaits at $0.2346. Will this propel DOGE price to $0.31?

Dogecoin Price Targets $0.31 With Pattern Breakout

Dogecoin price rally gains momentum with its fifth positive day, accounting for almost a 30% surge. The technical chart reveals a rounding bottom breakout, as the DOGE price rally surpasses the $0.20 supply zone. 

Dogecoin fell nearly 75% from $0.4846 to $0.1298 between December 8, 2024, and April 7, 2025, in 120 days. However, a bullish curvature under $0.20 led to a rounding bottom pattern. On May 9, DOGE price marked a conclusive breakout with a daily closing price of $0.2049. The 55% estimated rounding bottom breakout rally is estimated by adding its depth to the neckline breakout point, targeting $0.3159. 

The meme coin rally has flipped the Supertrend Indicator with a $0.1863 breakout, signaling a new uptrend in motion. Additionally, the rising MACD and signal lines regain positive alignment after a few minor volatility-driven fake-crossovers. Thus, the technical indicators bolster the bull run chances for Dogecoin. 

Retracing Fibonacci levels over the 75% DOGE downfall highlights the 50% level at $0.3040. The Dogecoin price prediction of $0.31 forecasts the 50% level breakout, hinting at a potential bullish extension. 

On the flip side, a pullback under the $0.20 psychological level will undermine DOGE’s upside potential to $0.31. A $0.20 breakdown will put the $0.1411 support level on bearish radars. 

Bullish Narrative Pumps DOGE Open Interest to 30-Day High

Amid the skyrocketing DOGE prices, sentiments surged in the derivatives field, as Open Interest (OI) hit $2.29 with a near 10% jump. The OI spike has recovered the lost ground during the tariff-driven downfall, a reflection of renewed traders’ interest. 

Furthermore, the OI weighted funding rate at 0.0106% spikes to a 30-day high, maintaining an overall positive flow since early April. Hence, it projects a heightened bullish intent of Dogecoin traders.  

$18.46M Liquidation Risk Teases Short-Squeeze Move

With Dogecoin sustaining above $0.20, the risk of increased short liquidation grows. According to Coinglass, a near 2% surge to $0.2346 will shake out bearish positions worth $18.46 million, potentially leading to a short-squeeze driven DOGE price rally. 

Hence, bulls anticipate further gains as Dogecoin sustains momentum, increasing short liquidation risk.