Why You Should Expect A Strong Bullish Move From The Dogecoin Price After Its 46% Crash

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It’s possible that the price of Dogecoin might make a powerful rise, given that a crypto expert has spotted a consistent pattern in its fluctuations. This positive forecast for Dogecoin’s future direction follows a significant drop in value exceeding 46%, which sent it to fresh lows.

Dogecoin Price Gets Ready For Major Bullish Move

In December, Dogecoin suffered a dramatic 46% drop in price, falling from its peak annual value due to a noticeable slowdown in its momentum. However, even with this adjustment, the meme-based cryptocurrency is displaying signs of recuperation, regaining strength after recording notable increases in January.

Crypto expert Maelius posted on X (previously known as Twitter) that the recent fall in Dogecoin’s value might have taken it to its all-time low, possibly signaling the start of an upcoming bullish trend. His analysis report suggests that Dogecoin’s price behavior during past market cycles indicates a strong possibility that the meme currency has already reached its lowest point. The consistent size of previous price waves supports this theory.

Examining the analyst’s Dogecoin graph, it appears that the meme coin’s price trend shows a consistent cycle with surges and corrections, where big gains are followed by steep declines. Each upward swing, denoted by a wave number on the chart, seems to grow stronger as each cycle progresses.

In April 2021, Dogecoin underwent a 53% drop, then skyrocketed 1,175%, reaching new peak prices. A more severe price plunge happened during the market downturn from July 2022 to 2023. During this bear period, Dogecoin’s price fell repeatedly and extended through a lengthy consolidation phase. Near the end of 2023, the meme currency experienced a modest rebound, with its value rising by approximately 308%.

A significant point to notice in Maelius’s examination is the marked area on the Dogecoin cost graph that he calls the ‘buy zone’. This crucial region has previously acted as a robust resistance level for Dogecoin, indicating a price band where demand spikes and accumulation takes place.

Maelius asserts that Dogecoin has recovered from its buy zone, a sign interpreted as a promising indicator for the cryptocurrency’s next increase. Given his assumption that Dogecoin has hit rock bottom and its subsequent rebound from the buy zone, this analyst anticipates an optimistic spike that could potentially propel the meme coin to a fresh record high of $2.3.

Maelius additionally noted that each prior surge in the cycles had grown increasingly intense, suggesting that the next increase in Dogecoin’s price might be even more forceful than the ones experienced previously.

Dogecoin Price Chart Forms Bullish Pennant 

According to an analysis by Trader Tardigrade, Dogecoin appears to be creating a fresh Bullish Flag (a pattern similar to a small symmetrical triangle) on its 4-hour chart. This technical chart configuration often hints at the possibility of a continuation in its upward trend.

For Dogecoin, a Bullish Pennant formation indicates that following a previous price increase, it might be consolidating and gearing up for another potential price jump as it breaks free from this pattern. As per CoinMarketCap’s data, Dogecoin has been gradually gaining traction, rising by approximately 19.3% over the last week, currently trading at $0.38.

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2025-01-06 22:41