Dogecoin Price 6% Away from Reversing 5-Month Correction, $0.15 Breakout Ahead?

As a seasoned crypto investor who has weathered multiple market cycles, I’ve learned to keep a keen eye on trends and patterns that often precede significant price movements. The recent surge in Dogecoin (DOGE) seems to be no exception, with its current upswing to $0.102 defying the market uncertainty.


On Saturday, Dogecoin, the most prominent meme cryptocurrency based on market cap, experienced a minor rise to $0.102 despite the ongoing market instability. This surge in price might be connected to Elon Musk and Tesla’s recent victory in the DOGE manipulation lawsuit, which could have sparked bullish sentiment among investors. If buying pressure continues, Dogecoin’s price could challenge the resistance trendline within a long-standing wedge pattern, indicating an important turning point for its owners.

Dogecoin Price Rebounds Amid Whale Accumulation and Onchain Recovery

Over the past five months, the price of the meme coin related to dogs has been following a downward trend due to a falling wedge pattern. As these two lines converge, the coin’s value has dropped significantly from approximately $0.228 to $0.1. This represents a decline of 56%.

Nevertheless, it’s common for the pattern to culminate in a significant breach from the upper trendline, indicating the conclusion of the corrective phase. As of the reporting time, Dogecoin was trading at $0.1016 with a market capitalization of $14.8 billion.

After Elon Musk won his recent court case regarding allegations of price manipulation in Dogecoin, the coin’s value has risen to surpass the $0.10 mark once more. This development could potentially lead to the resumption of Dogecoin as a payment option for Tesla merchandise and might even boost the possibility of using DOGE for payments in Musk’s vehicles.

Should the positive trend continue, the coin’s price might increase by approximately 6%, aiming to breach the resistance line of the wedge shape. If a breakout occurs, it could intensify the buying frenzy and drive the asset above $0.143, possibly even reaching $0.174 next.

Dogecoin Price 6% Away from Reversing 5-Month Correction, $0.15 Breakout Ahead?

Based on data from IntoTheBlock, the number of Dogecoin addresses containing a balance is predicted to exceed 6.6 million. This upward trend suggests that more people are becoming interested in and adopting Dogecoin, as an increasing number of users are storing the cryptocurrency in their wallets.

Dogecoin Price 6% Away from Reversing 5-Month Correction, $0.15 Breakout Ahead?

Furthermore, data from Santiment’s supply distribution metric shows a persistent increase in holding by whale wallets with between 10 million and 100 Million DOGE coins since August 2023. This accumulation by large investors typically strengthens market faith, suggesting the possibility of an upcoming price surge.

Dogecoin Price 6% Away from Reversing 5-Month Correction, $0.15 Breakout Ahead?

Contrarily, if the forecast for Dogecoin suggests a shift away from its current upward trendline, it’s possible that the current downtrend may persist for several weeks or even months. The daily exponential moving averages (20, 50, 100, and 200) aligning in a bearish manner indicates that the market is more likely to move downwards.

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2024-08-31 23:44