The Dogecoin price may be poised for one strong bullish movebecause a cryptanalyst has identified a recurring pattern in the movement of the meme coin. This optimistic view of Dogecoin’s future trajectory comes after the meme coin experienced a sharp price crash of over 46%, pushing it to new lows.
Dogecoin price is getting ready for bigger bullish move
During his price reduction in December, Dogecoin experienced a massive 46% crash, plummeting from its annual peak as its momentum underwent a significant cooling. Despite this correction has the meme coin is showing signs of recoverywhich is experiencing renewed strength after posting significant gains in January.
Cryptanalyst Maelius shared on X (formerly Twitter) that the recent Dogecoin crash may have driven the price to its lowest point, potentially setting the stage for the next bullish move. According to his analysis report, which notes Dogecoin’s price action in previous cycles, the consistency in the size of previous waves reinforces the likelihood that the meme coin has already hit rock bottom.
Looking at the analyst’s Dogecoin chart meme coin price history reveals a recurring pattern of cyclical waves characterized by massive upswings followed by sharp corrections. Each upward movement, marked with a wave number on the chart, has strengthened during individual cycles.
For example, in April 2021, Dogecoin recorded a 53% drop, followed by a massive 1,175% rise to new record highs. A similar but more significant price crash occurred during the bear market from July 2022 to 2023. At that time, the Dogecoin price experienced several price drops and an extended period of consolidation. Towards the end of 2023, the meme coin saw a modest recovery, and its price rose by 308%.
Another notable aspect of Maelius’ analysis is the highlighted shopping zone on the Dogecoin price chart. This critical area has historically served as a strong supply level for Dogecoin, representing a price range where demand is rising and accumulation occurs.
According to Maelius, Dogecoin has bounced out of this buy zone, a development seen as a positive move for the meme coin’s next upward move. With the belief that Dogecoin has bottomed out and its recent bounce from the buy zone, the analyst predicts a bullish surge that could push the meme coin to a new all-time high of $2.3.
Maelius also pointed out that each upward movement in the preceding cycles was more powerful than the last, suggesting that Dogecoin’s Next Price Rally may be even stronger than those observed in the previous cycles.
Dogecoin Price Chart Forms Bullish Pennant
A new Dogecoin price analysis by Trader Tardigrade shows that the meme coin is currently forming a new Bullish Pennant on its 4-hour chart. A bullish pennant is a technical chart pattern that resembles a small symmetrical triangle, indicating a potential upward trend continuation.
In the case of Dogecoin, the formation of a Bullish Pennant suggests that after experiencing a previous rally, Dogecoin is consolidating and may be poised for another price rally when it breaks out of this pattern. CoinMarketCap’s data reveals that Dogecoin is slowly gaining momentumsoared 19.3% in the last week to reach a price of $0.38.
Featured image created with Dall.E, charts from Tradingview.com
