If this happens, the price of Dogecoin (DOGE) could soar by 85%
Dogecoin (DOGE) has risen by 350% this year, in line with the overall bullish outlook of the cryptocurrency market. Elon Musk's Government Efficiency Department (DOGE) and whales accumulating DOGE add credibility to this outlook. This bullish momentum, combined with Bitcoin's recent performance, could become a tailwind, pushing Dogecoin's price up by 85%.
If Dogecoin breaks through this key resistance level, its price could rise by 85%
The weekly chart shows strong bullish breakout for Dogecoin's price in November. This is a striking breakout, as it has been consolidating between $0.050 and $0.2280 for over two years.
Dogecoin has now broken through the key resistance level of $0.2278, which was the highest volatility on March 25. Breaking through this level is crucial as it invalidates the double top pattern that is forming.
It has also surged above the 50-week and 25-week moving averages, indicating that the bulls are in control. The token has also surged to a high of $0.4840, slightly above the 38.2% Fibonacci retracement level.
There are signs that the price of Dogecoin is slowly forming a bullish flag pattern. This is a popular continuation signal characterized by a long vertical line and some consolidation.
Therefore, breaking through this resistance level will increase the likelihood of DOGE's price rising to an all-time high of $0.7383. This price is about 82% higher than the current level. If the token soars to the key psychological level of $1, this move will increase its likelihood.
Additionally, Dogecoin's price needs other catalysts to continue its strong rise. Firstly, it needs Bitcoin to perform well, which will lead to altcoins gaining more profits. When BTC rises strongly, most altcoins tend to thrive. This increase will also be accompanied by a rise in the cryptocurrency fear and greed index.
Furthermore, Dogecoin needs whales to continue accumulating, just like in the past few months. Data from Santiment shows that whales have increased their holdings of Dogecoin over the past month, indicating that they expect the price to continue rising.
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