Dogecoin’s price has remained relatively steady on shorter timeframes, showing a sideways trend. However, there are signs indicating a possible significant surge in the near future.
While the recent bullish activity in the cryptocurrency market hasn’t favored Dogecoin, analysts are suggesting a potential shift that could lead to a new record peak for the popular meme-inspired digital currency.
Dogecoin Price Analysis: Potential for a New Rally
Dogecoin (DOGE) has maintained its current levels, experiencing a slight 2% loss over the past 24 hours as of the time of writing. Its performance over the previous week has been similar, yet it remains positive on the 2-week and 30-day horizons.
DOGE’s price trends to the upside on the daily chart. Source: DOGEUSDT on Tradingview
According to analyst Ali Martinez, Dogecoin’s price movement mirrors previous bullish trends. Despite short-term bearish momentum, there’s speculation that the leading meme-inspired cryptocurrency could embark on a significant rally, potentially surpassing its previous all-time high near the $0.80 mark.
Martinez’s analysis suggests that Dogecoin’s price tends to follow a sideways trend, sometimes lasting up to 679 days, before surging to new all-time highs. Notably, on Dogecoin’s weekly chart, the token has recorded impressive gains of 8,000% and 23,000% during each breakout from this pattern.
For instance, during the late 2017 crypto bull run when Bitcoin reached $20,000, Dogecoin also broke its 679-day sideways trend, experiencing a remarkable 8,700% rally. Similarly, in 2021, Dogecoin witnessed a similar breakout, but with even more significant gains.
DOGE’s price on the brink of a new rally? Source: Ali Martinez
Looking ahead, the chart analysis suggests that Dogecoin could potentially rally above $1 and $3 if history repeats itself. This forecast is based on DOGE’s historical tendency to exhibit more aggressive upward movements every time it breaks out of its long-term sideways trend.
According to the analyst, the way Dogecoin’s price is moving seems similar to what we’ve seen in its previous bull markets. If things play out like they did before, there’s a chance we might witness Dogecoin experiencing a significant surge, possibly entering a rapid upward trend by around April!
Dogecoin Faces Crucial Resistance at $0.10 Level
Dogecoin (DOGE) is stuck at an important price level of $0.10. To see its price go up, it needs to break past this point. An analyst suggests that DOGE might have a chance to break out and rise in value. But first, it has to get back above $0.0914.
The crypto market could encounter challenges this week due to macroeconomic developments, which may contribute to increased volatility. Despite these potential headwinds, if the Dogecoin price manages to hold above key support levels, it could strengthen the possibility of a bullish rally gaining momentum in the near future.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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