With the renewed momentum seen across the entire cryptocurrency, Dogecoin is displaying robust resilience as the dog-themed meme coin has entered into a key chart formation, signaling a potential shift in its price trend and further solidifying its capability for a major rally in this ongoing bull cycle.
Dogecoin’s Path To $0.2 Gains Strength
In a significant move, Dogecoin, the largest meme coin has made a big breakout, drawing the attention of the community with several seasoned crypto analysts predicting that a rally might be on the horizon. The breakthrough indicates heightened interest and activity from market players in the cryptocurrency asset, causing a recent run-up to multiple resistance levels.
Trader Tardigrader, a market expert and enthusiast delving into the meme coin’s recent price movement has forecasted the possibility of an upcoming upside move, pushing the price to $0.2 in the short term. The crypto expert’s prediction is based on a breakout to a Descending Megaphone pattern, demonstrating its resiliency in light of previous turbulence.
According to the analyst, as the daily candle of Dogecoin closed, the meme coin broke out into a descending megaphone pattern. This breakout has given traders and investors new hope, as many see it as an early sign of rising momentum.
He further highlighted that on the 1-day chart, DOGE is displaying indications of momentum. As a result, the market expert has predicted that Dogecoin could experience a leg up to the $0.2 level once it breaks out of the descending megaphone formation.
Trader Tardigrade previously predicted that Dogecoin could be on the verge of doing something different, suggesting a possible shift in price to an optimistic trend. He made the bold claim due to the meme coin trending around the 10 Weighted Moving Average (WMA) on the weekly time frame, a key positive indicator.
On the chart, the analyst noted that two false breaks occurred in May and July this year, after which the downward trend persisted. Thus, several signs such as a breakout, a followthrough candle, a retest, and an uptrend continuation are now visible.
DOGE Sees Strong Rally In The Past Day
Dogecoin is currently in the spotlight after a notable upswing from a lengthy downtrend a few weeks ago. Combining the recent optimism in the general market and investors‘ interest in DOGE, the meme coin has witnessed an over 14% surge in the past day.
In a larger outlook like the 1-week and 1-month time frame, DOGE has recorded gains of more than 16% and 30%. Given the magnitude of the increase, there are speculations that the much-awaited meme coin season could happen soon with DOGE leading the charge.
Investors appear to be confident about a further upward movement as evidenced by a persistent rise in its trading volume, which has increased by about 122% in the last 24 hours according to data from CoinMarketCap.
Featured image from Unsplash, chart from Tradingview.com
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