Dogecoin (DOGE) price surged by more than 75% in October to reach $0.172 ahead of the month’s close, its highest level since May 2024.
The memecoin’s gains have appeared largely due to Elon Musk, who at Donald Trump’s New York campaign rally on Oct. 27, discussed his plans to save $2 trillion in taxpayers’ money through his brainchild agency, Department of Government Efficiency, which—interestingly—has the same initials as the Dogecoin ticker, DOGE.
Dogecoin is now exhibiting a technical pattern that could send its price soaring toward $1 and beyond.
DOGE breaks out of a 3-year-long symmetrical triangle
Dogecoin’s potential to reach $1 in the current bull cycle stems from its breakout from a giant symmetrical triangle pattern active since April 2021.
In technical analysis, symmetrical triangles are continuation patterns that typically resolve in the direction of the previous trend, rising by as much as the maximum distance between the triangle’s upper and lower trendline.
Dogecoin price has exhibited a symmetrical triangle breakout during the 2020-2021 period, where it broke above the pattern’s upper trendline in October 2020 and followed that up with a staggering 31,375% rally.
As of October 2024, DOGE’s price appears to have been entering a similar breakout stage.
DOGE/USD weekly price chart. Source: TradingView
Applying the technical rule, DOGE’s price is eyeing $2 as its potential upside target in the coming years, with a potential of reaching $1 sometime in 2025.
Another critical indicator supporting the bullish outlook is Dogecoin’s weekly relative strength index (RSI), which bounced from a historical support zone of around 46 in July.
Historically, RSI support bounces following consolidation patterns like symmetrical triangles have often led to sustained rallies, adding weight to the $1–$2 price target if the breakout holds. That is up 500-1,000% from the current price levels.
Conversely, if DOGE slips below its giant triangle’s upper trendline, its likelihood of continuing inside the range will increase, beginning with a decline toward $0.09-0.07 range, coinciding with its 50-week EMA (the red wave) and the triangle’s lower trendline.
Trump win should boost DOGE price
The newfound Musk-Trump connection could further amplify Dogecoin’s bullish hype if Trump, known for his appeal to the same retail base that favors DOGE, wins the 2024 election.
Source: X
Musk has confirmed he will work with the Trump administration on efficiency initiatives, with the shared “D.O.G.E.” acronym stoking speculation and reinforcing Dogecoin’s meme appeal. That is akin to his tweets and self-appointed title as the “Dogefather,” helping DOGE surge by 64,000% during the 2020-2021 bull market.
On Polymarket, Trump’s odds of winning the 2024 election are currently at 64.1%, higher than Vice President Kamala Harris’s odds of 35.9%.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
