DOGE Price: Can Doji Pattern Trigger Recovery Above $0.5 Now?

Dogecoin Price Analysis

Dogecoin's daily trading chart indicates a potential local bottom may have been reached. A Dragonfly Doji candlestick has appeared at the Fibonacci level of 0.618, suggesting a price rejection at this level.

This pattern often signals a reversal, indicating Dogecoin may have established a support point. The market sentiment shifted as the candle formed, with buying pressure at lower levels.

The presence of the Doji pattern at a key Fibonacci level suggests sellers are exhausted, leading to a balance between buyers and sellers. If the support holds, DOGE could see a rally, with potential targets above $0.50.

Dogecoin's Correlation with Bitcoin

Dogecoin's price follows a cyclical pattern aligned with Bitcoin's, particularly after the third BTC halving. Previous cycles indicate DOGE reaches its peak within three to four weeks after Bitcoin's top. This relationship has accurately predicted past Bitcoin peaks.

For the upcoming cycle, predictions suggest a peak between February and May, if Bitcoin peaks within this period.

Whale Accumulation

Large holders accumulated over 250 million DOGE tokens during the recent market downturn. This strategic buying during lower prices may have contributed to Dogecoin's recovery.

The pattern suggests whales perceive dips as entry points, anticipating a price rebound. If similar buying patterns continue, it could signal an impending price increase. Conversely, a sell-off by whales could put downward pressure on prices.