The Dogecoin price could be preparing for a strong bullish movementbecause a crypto analyst has identified a recurring pattern in the meme coin’s movements. This optimistic view of Dogecoin’s future trajectory comes after the meme coin a serious price crash of over 46%, pushing it to a new low.
Dogecoin price is gearing up for a major bullish move
During his price withdrawal in December, Dogecoin experienced a massive 46% crash, plummeting from its annual high as its momentum suffered a significant cooling. Despite this correction, the meme coin shows signs of recoverywhich is experiencing renewed strength after posting substantial gains in January.
Crypto analyst Maelius shared on According to its analysis report, which notes Dogecoin’s price action during previous cycles, the consistency in the size of previous waves strengthens the likelihood that the meme coin has already been sold. hit bottom.
Looking at the analyst’s Dogecoin chart, the price history of meme coins reveals a recurring pattern of cyclical waves, characterized by huge rallies followed by sharp corrections. Each upward movement, marked by a wave number on the chart, has become stronger during individual cycles.
For example, in April 2021, Dogecoin recorded a 53% decline, followed by a massive 1,175% rise to new all-time highs. A similar but more significant price crash occurred during the bear market from July 2022 to 2023. At that time, the Dogecoin price experienced multiple price drops and a prolonged consolidation period. By the end of 2023, the meme coin experienced a modest recovery, with its price rising 308%.
Another striking aspect in Maelius’ analysis is the highlighted buy zone on the Dogecoin price chart. This critical area has historically served as a strong supply level for Dogecoin, representing a price range where demand is rising accumulation occurs.
According to Maelius, Dogecoin has returned from this buying zone, a development seen as a positive step for the meme coin’s next upward move. With the belief that Dogecoin has bottomed and its recent recovery from the buy zone, the analyst foresees a bullish wave that could push the meme coin to a low. new record ever from $2.3.
Maelius also pointed out that each upward movement in the previous cycles was more powerful than the previous one, implying that Dogecoin’s next price increase could even be stronger than those observed in the previous cycles.
Dogecoin price chart forms a bullish pennant
A new Dogecoin price analysis by Trader Tardigrade shows that the meme coin is currently forming a new Bullish Pennant on the 4-hour chart. A Bullish Pennant is a technical chart pattern that resembles a small symmetrical triangle, indicating a possible continuation of the uptrend.
In the case of Dogecoin, the formation of a Bullish Pennant suggests that after experiencing a previous rally, Dogecoin consolidates and could prepare for another price increase if it breaks this pattern. CoinMarketCap data shows that Dogecoin is slowly gaining momentumup 19.3% over the past week to reach a price of $0.38.
Featured image created with Dall.E, chart from Tradingview.com