Dogecoin (DOGE) is once again drawing attention in the crypto world with its recent price action. Analysts are expecting DOGE to break out of a long-term triangle formation, and if that happens, DOGE is expected to surge 1,150% to reach $4.
DOGE’s Historical Rally Patterns
Dogecoin has made major rallies in the past by breaking out of long-term downward triangle formations. For example, between 2014 and 2017, DOGE made a big breakout after consolidating in a 165-week triangle formation. A similar pattern was repeated between 2017 and 2021, with DOGE gaining more than 16,000 percent in price. Now, Dogecoin is approaching the final phase of a 183-week triangle formation. Analysts expect DOGE to rise to at least $4 and potentially even $23 if this pattern repeats itself. If DOGE hits $23, its market cap could exceed $3 trillion, taking it over the lead in the entire crypto market. However, this scenario will require significant interest and adoption in the market.
Crypto expert Javon Marks argues that Dogecoin could rise to $20 in the current bull cycle. Marks notes that DOGE has delivered bigger gains each time in past bull cycles. The expert explains:
“If the momentum continues, the $20 target is a realistic possibility. In 2017, Dogecoin’s price increased 90-fold, while in 2021, this rate increased 306-fold. If these cycles repeat, DOGE’s price could reach even higher peaks. However, more adoption, integration, and use cases are required for investors to reach these targets.”
Short Term Target: $1
Dogecoin is aiming to break out of the $1 psychological resistance level in the short term. DOGE, which is currently testing the $0.50 resistance level, is expected to continue its uptrend if it breaks above this level. In addition, DOGE is trading above the moving averages, showing a positive outlook in terms of technical indicators.
The Influence of Elon Musk
The price of Dogecoin could continue to rise with the contributions of powerful supporters like Elon Musk. Musk’s interest in DOGE reinforces the confidence of investors. In addition, DOGE’s integration into payment systems and its adoption by a wider user base could accelerate the achievement of its long-term goals.
Long-Term Potential for Dogecoin: Beyond $4?
Dogecoin’s technical indicators, historical price action, and increasing market interest make it possible for it to reach the $4 target. Analysts say that DOGE could head towards new highs while reaching this target. However, this rise will be shaped by factors such as investor interest, market conditions, and the general economic situation.
Dogecoin’s potential to reach $4 is supported by strong technical signals and historical trends. However, the possibility of a rally to $20 will depend on DOGE integrating into a broader ecosystem and growing its user base. In this way, DOGE will attract even more attention in the crypto market.