On a low-volatility Sunday, Dogecoin price rose 1.13% to trade at $0.11. This bullish reversal is due to DOGE’s big breakout from its descending triangle pattern, which could indicate a major trend reversal. Will the new bullish momentum negate the increasing selling pressure from continuing geopolitical tensions between Israel and Iran?
If this pattern holds analyst expectations, Dogecoin price target is $0.20
According to renowned analyst Ali Martinez, Dogecoin price prediction has formed the well-known descending triangle pattern on the weekly chart. In theory, this chart often drives a steady downtrend within a downtrend line and flat support.
However, the recent breakdown from this pattern’s overhead trendline invalidates the bearish outlook and points to a possible rally for DOGE.
This cryptocurrency exhibits repeating patterns reminiscent of past market trends. Namely, a breakout from a multi-year descending triangle, followed by a remarkable 200% rally and subsequent 60% retracement.
A significant 65% correction in Dogecoin price was followed by a decisive breakout from the upper trendline of the triangle. Continuing this upward momentum could signal the beginning of a bullish trend for DOGE, with a target above $0.20.
History often repeats itself, #Dogecoin Maybe that’s exactly what he’s doing.
Common pattern: breakout from a multi-year descending triangle, 200% spike, 60% retracement, and bull market.
After a recent drop of 65%, $Doge You might be getting ready for the next big rally! pic.twitter.com/c93A4Fec7V
— Ali (@ali_charts) October 6, 2024
According to Intotheblock data, DOGE recently recovered a significant supply of 43.72 billion coins held in 124,48,000 addresses when the price broke above $0.108. These coins that are currently profitable can act as sustainable support and alleviate selling pressure from traders who are making profits.
Money in and out | Into the Block
For a detailed analysis, check out our article on top meme coins.
DOGE price suggests 10.5% decline before next jump
During the recent market correction, Dogecoin price has shown a notable decline from $0.132 to $0.1, which is a 21% loss. Continued geopolitical tensions between Israel and Iran have added to the selling pressure.
If the selling continues, DOGE price could drop by 10.5% and seek support from the newly emerged support trend line at $0.1. If this support holds, buyers could push the price above the $0.13 peak and signal a possible trend reversal.
Conversely, if the sell falls below the support trend line, Dogecoin price will correct to $0.08.
Frequently asked questions (FAQ)
Analysts predict that Dogecoin price could target $0.20 if the current descending triangle pattern holds.
Continuing geopolitical tensions between Israel and Iran have increased selling pressure, causing Dogecoin’s price to drop significantly from $0.132 to $0.1.
The $0.10 level forms a strong accumulation zone, supported by the uptrend line and the lower Bollinger Bands.
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Sahil Mahadik
Sahil is a dedicated full-time trader with over 3 years of experience in financial markets. He has a strong grasp of technical analysis and keeps a close eye on daily price movements of top assets and indices. Drawn by his fascination with financial products, Sahil enthusiastically embraced the emerging field of cryptocurrencies and continues to explore opportunities driven by his passion for trading.
Disclaimer: The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
