Over the past seven days, the largest meme token by market capitalization has risen to $0.3340, gaining 12% from this week's low.
The main catalyst for the recovery of Dogecoin (DOGE) was Grayscale's announcement of the creation of a new ETF based on the meme coin.
This event coincided with increasing optimism among crypto investors regarding the possibility that the U.S. Securities and Exchange Commission may approve a DOGE-ETF soon.
Some crypto analysts believe that the launch of the DOGE-ETF in February will lead to a 200% increase in the meme token to $1. If this happens, the market capitalization of the asset will reach nearly $150 billion.
Technical indicators for DOGE also point to a bullish trend. The meme coin has formed a bullish 'flag' pattern consisting of a high flagpole followed by a symmetrical triangle. This pattern often precedes further growth.
Dogecoin is in the fourth wave of the Elliott pattern, and the next step could be the fifth and final bullish wave. In this case, the price of the meme coin could rise to the Fibonacci retracement level of 78.6% at $0.6086. After that, there will be a retest of the historical high at $0.7600. A breakout above this level will strengthen the token's momentum for growth towards $1.
