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DOGE to $1? Memecoin Showdown as Dogecoin Faces Stiff Competition from PEPE, SHIB, & WIF
Despite mixed opinions from analysts, Dogecoin (DOGE) enthusiasts remain hopeful that the memecoin can reach a one-dollar price target this cycle, buoyed by its strong community, historical heritage, and bullish indicators
Dogecoin (DOGE), the original memecoin that has captured the hearts of many in the cryptocurrency community, has been the subject of much speculation regarding its potential to reach a one-dollar price target.
Despite its strong community and historical heritage, analysts remain divided on whether DOGE can achieve this milestone during the current market cycle.
Over the past week, DOGE has seen a modest 2.58% rise, trading at around $0.16. While this growth is notable, it pales in comparison to the performance of other large-cap memecoins within the same timeframe.
PEPE, Shiba Inu (SHIB), and Dogwifhat (WIF) have all experienced double-digit percentage gains, with PEPE leading the pack at an impressive 43% increase.
Pseudonymous trader Rekt Capital believes that DOGE’s cyclicality and historical heritage could help it weather the rising popularity of other memecoins. “DOGE is one of the most cyclical altcoins in the space,” Rekt told Cointelegraph, adding that “other meme coins launching doesn’t mean DOGE will suffer.”
However, Pav Hundal, lead analyst for Australian crypto exchange Swyftx, offers a more cautious perspective. Hundal suggests that while DOGE has a “huge community of users,” any sharp spikes in price may lead to a significant sell-off from long-term holders, particularly those who bought icointeln during the 2021 bull run and are currently sitting on paper losses.
Despite the uncertainty surrounding DOGE’s short-term price action, some analysts remain optimistic about its potential to reach the coveted one-dollar mark.
Rekt Capital argues that the “cyclicality in DOGE’s chart” suggests that it will “most probably” hit this target during the current cycle. The trader also points to potential social media posts from billionaire Elon Musk as a possible catalyst for price growth, asserting that Musk is still “very interested in Dogecoin.”
Adding to the bullish sentiment, the TD Sequential indicator, a renowned technical analysis tool, has recently printed a buy signal on DOGE’s daily chart. This signal suggests that the memecoin could be poised for an upswing lasting anywhere from one to four days, offering a glimmer of hope for DOGE enthusiasts.
Prominent crypto analyst Ali Martinez has also shared an optimistic outlook for DOGE, noting the coin’s recurring price patterns. Martinez points out that DOGE tends to consolidate after breaking out of descending triangle formations, and based on historical trends, he believes the memecoin has the potential to rally towards $1 in the coming weeks.
If realized, this would represent a staggering 700% uptrend in price from current levels, surpassing DOGE’s all-time high of $0.7316 set in May 2021.
However, Martinez acknowledges that DOGE faces several resistance levels that have impeded its recovery after a 21% price decline in the past two weeks.
The memecoin encounters a significant obstacle at the $0.1633 price level, which has acted as a barrier for the past 10 days. To reach the $0.200 mark, DOGE will need to overcome additional hurdles at $0.1739, $0.1938, and $0.1998.
It is worth noting that Dogecoin’s price movement will likely be influenced by Bitcoin’s performance in the coming weeks. As the market leader, Bitcoin’s trajectory often sets the tone for the broader cryptocurrency market, and DOGE is no exception.
