Dogecoin’s recent bearish performance in the past several weeks has cast doubts about its potential in the ongoing bull market cycle and its long-term prospects. DOGE may have declined sharply toward key levels last seen in 2024, but many analysts foresee a price reversal, which could be part of a larger bull trend.
Trader Tardigrade, a seasoned market expert and investor, has outlined an impending significant bullish run for Dogecoin. The analyst expects the price reversal to be bolstered by a prolonged chart pattern, strengthening DOGE’s performance for an upside.
Is It Time For Dogecoin To Witness Another Notable Rally?
Despite the magnitude of DOGE’s price pullback, there is still hope for a rebound as key indicators point to a growing upward momentum. Delving into the current performance, Trader Tardigrade revealed that the meme coin continues to maintain its Gaussian Channel pattern while undergoing downward movements, indicating resilience in the volatile period.
The drop has brought DOGE’s price closer to the mid-band of the Gaussian Channel formation, which is a bullish signal. This is because the band previously stopped Dogecoin from falling deeper during the Falling Wedge pattern. With DOGE approaching the mid-band, Trader Tardigrade is confident that the time has come for a rebound if it responds similarly to the last time.
Presently, Dogecoin is hovering around a key support level that previously served as a springboard for a substantial pump. Should the meme coin mirror past trends, another rally could unfold at this point, potentially pushing it back to yearly highs of around $0.48. With the help of huge accumulations at current levels, DOGE also stands the chance to undergo a price reversal in the upcoming weeks.
A Price Drop Before A Major Upsurge
In another of his recent analyses, the expert suggests that DOGE’s sharp price decline might be setting the stage for a huge rally. In other words, the ongoing correction is a natural one that precedes robust upward performance, allowing the dog-themed meme coin to target a new all-time high. His analysis is based solely on past scenarios whereby DOGE surged dramatically after witnessing a strong pullback.
So far, the meme coin has experienced 3 notable pullbacks, including the ongoing correction since October 2022. Dogecoin’s chart in the 3-day time frame shows that the asset saw a 64% retracement in the first two pullbacks in 2023 and 2024. Following each pullback, DOGE shifted into bullish territory, recording more than 300% and 500% increases, respectively.
Meanwhile, the current price pullback has reached 66%, which Trader Tardigrade believes could offer enough momentum for Dogecoin to pump similarly to past scenarios or even more than that. Looking at the chart, the analyst expects the impending surge to push prices to the $1 milestone, marking a new all-time high for DOGE.
Featured image from Unsplash, chart from Tradingview.com
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