The price of Dogecoin suggests it may break out of a 16-month correction if the forming triangle pattern holds. Analysts predict it could reach as high as $0.20.
Dogecoin Rises by 1.13%, Breaks Descending Triangle
On Sunday, with low market volatility, the price of Dogecoin ( #doge⥠) rose by 1.13%, reaching $0.11. This upward move is attributed to a significant breakout from the descending triangle pattern, signaling a potential trend reversal. The question remains whether this renewed #BullishMomentum can overcome the selling pressure caused by ongoing geopolitical tensions between Israel and Iran.
Analysts Predict Dogecoin's Price Could Reach $0.20 if the Pattern Holds
Renowned analyst Ali Martinez identified a familiar descending triangle pattern on Dogecoin's weekly chart. Theoretically, this pattern often signals a persistent downward trend with a flat support line.
However, the recent breakout above the upper trendline of the pattern weakens the bearish outlook and suggests that DOGE may be poised for a rally.
#DogecoinâŹâ© has exhibited a similar market behavior in the past: breaking out of a multi-year descending triangle, followed by a notable 200% rise and a subsequent 60% retracement.
After a recent 65% price correction, Dogecoin broke above the upper trendline of the triangle. Sustaining this bullish momentum could indicate the beginning of a new #BullishTrend for DOGE, with potential targets surpassing $0.20.
Strong Support Could Reduce Selling Pressure
According to data from Intotheblock, Dogecoin recently gained significant support, with 43.72 billion DOGE held on over 124,000 addresses at a price above $0.108. These coins, now in profit, could act as strong support and reduce selling pressure from profit-taking traders.
Dogecoinâs Price Could Drop by 10.5% Before the Next Jump
Amid the recent market correction, Dogecoinâs price saw a sharp decline from $0.132 to $0.1, marking a 21% loss. Geopolitical tensions between Israel and Iran have further heightened the selling pressure.
If selling continues, DOGEâs price could drop by another 10.5%, seeking support at the newly formed trendline at $0.1. If this support holds, buyers may push the price back above $0.13, signaling a potential trend reversal.
Conversely, if the price falls below this trendline, a correction toward $0.08 could follow.
Stay one step ahead â follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.â
Â
