The Dogecoin price is again shows signs of a strong bullish run. Notably, a golden cross has appeared on Dogecoin’s 4-hour price chart, which could prompt a continuation of bullish momentum in the coming weeks. The rise of this golden cross suggests that buyers are now in control, and the meme coin could be on track to repeat its rally from early November.
Golden Cross on the Dogecoin price chart
In technical analysis, a golden cross is a pattern where a short-term moving average rises above a long-term moving average. This golden cross was marked for the Dogecoin price from crypto analyst Trader Tardigrade, known for his technical insights on social platform X. According to the analyst, this golden cross was observed in the Moving Average Convergence Divergence (MACD) indicator below the zero line.
When this happens in the MACD below the zero line, it signals a switch from bearish to bullish sentiment, paving the way for upward price action. According to the 4-hour Dogecoin price chart shared by Trader Tardigrade on social media platform X, this is not the first time such a golden cross has occurred in recent weeks. Dogecoin in particular had a similar MACD-gold cross in the first week of November. At that time, the Dogecoin price was trading around $0.15 on November 4. After this golden cross followed a bull run was initiatedleading to a strong rally that peaked for the first time at $0.426 on November 12. This equates to a price increase of approximately 184% in eight days.
The historic achievement following November’s Golden Cross has led to heightened expectations for what could unfold this time. If Dogecoin’s price were to follow a similar trajectory, it could potentially see a dramatic rally in the coming days. Based on the predictions shared by Trader Tardigrade and November’s price patterns, this rally could push Dogecoin towards a $1 price target by December 7.
Key levels to watch on Dogecoin’s path to $1
Like Dogecoin is gearing up for this expected rally, certain resistance levels must be cleared to achieve the ambitious goal of $1. Immediate resistance is at $0.43, and then at the current 2024 high at $0.4759. If this level is breached, the Dogecoin price could trade at a new three-year high.
From there, continued momentum and buying pressure could push Dogecoin to $0.50 and the current all-time high of $0.7316 before the $1 mark comes into view. On the other hand, the support levels at $0.37 and $0.35 will be crucial for maintaining bullish sentiment, especially if the golden cross does not become reality in the expected rally.
At the time of writing, the Dogecoin price is trading at $0.404, up 9.8% from the November 26 low of $0.3679.
Featured image created with Dall.E, chart from Tradingview.com