Recent market developments have Dogecoin price approaching an important milestone in the moving average. Dogecoin is on the verge of achieving a weekly golden cross for the first time in four years, as noted by an analysis on the TradingView platform.
This technical pattern where the 50-week moving average is above the 200-week moving average is extremely rare in Dogecoin. Interestingly, history shows that the golden cross is one of the best bullish indicators, suggesting that Dogecoin price may be poised for a massive surge.
Dogecoin price approaches Weekly Golden Cross
Technical analysis of Dogecoin price trends shows that golden crosses occur on both weekly and daily candlestick time frames. Interestingly, on the weekly candlestick time frame, a golden cross is nearing realization. What’s even more interesting is that this is the first time such a golden cross has occurred since 2021.
Dogecoin price is currently hovering just above its 200-week moving average, and maintaining this position is essential to give it enough traction to push the 50-week moving average higher. If Dogecoin maintains this level, it will be primed for significant price increases in the coming months. Given that Dogecoin’s price has more than doubled since the beginning of 2024, the completion of the Golden Cross could provide additional fuel to fuel an even stronger parabolic rally by the end of the year.
Historically, the last time Dogecoin witnessed a weekly golden cross was in January 2021, when it was trading at a modest price of $0.00317. This technical signal coincided with the beginning of a notable bull run across the cryptocurrency market, propelling Dogecoin into the spotlight at the height of the memecoin boom.
By the end of the rally, Dogecoin had risen 22,980% in four months, reaching an all-time high of $0.7316.
Source:X
Can DOGE repeat this rise in Weekly Golden Cross?
If the current setup reflects the bullish momentum in 2021, Dogecoin could see another impressive rally. If similar momentum occurs, Dogecoin will break through multiple price resistances by the end of 2024 and in the first few months of 2025. This could in turn lead to the creation of new all-time highs.
As for price targets, TradingView analysts said there is no price target, meaning the reins will be free after the golden cross. But realistically, Dogecoin could rise at least 200% if the weekly golden cross occurs.
Dogecoin once again failed to maintain its footing above $0.14 in the past 24 hours and is currently trading at $0.138. A 200% rally would put Dogecoin near $0.42, but this will largely depend on whether it can sustain above $0.14 and maintain momentum above its 200-week moving average.
DOGE price has a bullish outlook | Source: DOGEUSDT on Tradingview.com
Featured image created by Dall.E, Charts from Tradingview.com
