TLDR
- Dogecoin Foundation Director Timothy Stebbing unveils Project Sakura protocol test for proof-of-stake transition
- Initiative aims to protect DOGE network from 51% attacks following Monero security breach
- DOGE price trades at $0.22 within symmetrical triangle pattern after 4% decline
- Open interest reaches $1.7 billion with trading volume at 98 million showing increased activity
- Technical analysis indicates potential 170% rally to $0.44 if support at $0.165 holds
The Dogecoin Foundation has announced Project Sakura, a protocol test that could fundamentally change DOGE’s blockchain infrastructure. Timothy Stebbing, Director of the Dogecoin Foundation, revealed plans to transition from proof-of-work to proof-of-stake consensus.
This announcement follows Qubic’s 51% attack on Monero, highlighting security vulnerabilities in proof-of-work networks. The proposed changes aim to protect Dogecoin from similar attacks while supporting its evolution as a global payment system.
Stebbing emphasized that Project Sakura aligns with Dogecoin’s community values. The initiative reflects changing objectives for DOGE as a medium of exchange rather than purely a store of value like Bitcoin.
Dogecoin Price Prediction
Dogecoin currently trades near $0.22 within a symmetrical triangle pattern. This formation demonstrates lower highs and higher lows, creating a narrowing price range that typically precedes major moves.
The token declined 4% over 24 hours but maintains its position within the triangle structure. DOGE has tested the lower support band multiple times, with each bounce indicating sustained buying interest.
Trading volume increased 137% in recent sessions as DOGE approached $0.24 resistance. The subsequent three-day retreat suggests profit-taking near technical resistance levels.
Key support sits at $0.165, representing a critical level for bulls. A successful bounce from this area could provide the momentum needed for the next upward movement phase.
Market Metrics Support Potential Breakout
Open interest in Dogecoin derivatives reached approximately $1.7 billion, reflecting increased speculative positioning among leveraged traders. This metric indicates growing market participation ahead of potential volatility.
Daily spot trading volume hit 98 million at press time. Analysts note that sustained volume is essential for confirming any breakout direction from the current triangle formation.
The MACD indicator remains near zero, suggesting neutral momentum. A bullish crossover supported by increased volume could signal upward movement, while lack of confirmation might extend consolidation.
DOGE’s performance outpaces other meme tokens during the recent market correction. While Bonk dropped 41% and SPX6900 fell 37% over 30 days, Dogecoin declined only 8%.
Technical projections suggest a potential 170% rally to $0.44 if DOGE successfully bounces from support levels. This target assumes the triangle resolves to the upside with adequate volume confirmation.
The combination of protocol development news and technical setup creates multiple catalysts for price movement. However, community reception of Project Sakura remains mixed, with some members opposing changes to the original architecture.
Current market conditions show DOGE consolidating within a tightening range while open interest and volume metrics indicate building pressure for a decisive move.
