Dogecoin (DOGE) History Points to Mega Rally Ahead

Cover image via U.Today

Dogecoin (DOGE) is a highly observed altcoin in the digital currency market, and its current trajectory has prompted speculation about a potential bullish breakout. At the time of writing, Dogecoin is valued at $0.1705, having gained 12.55% over the past 24 hours.

According to prominent market analyst Ali Martinez, Dogecoin may be poised to revisit its peak price of $0.2, which it last reached over a month ago. Martinez supports this assertion with a chart illustrating DOGE's breakout from a Descending Triangle pattern. Subsequent confirmations have led to a significant retracement.

The recent correction suggests a potential price reversal, paving the way for DOGE to retest the $0.2 resistance level. While Martinez does not definitively predict a rebound, he notes that "history doesn't always repeat itself, but it often rhymes."

History doesn't repeat itself, but it often rhymes!! https://t.co/qr9BG5QnjH— Ali (@ali_charts) May 21, 2024

For Dogecoin, the $0.2 threshold represents a formidable resistance point. Short-term selling pressure typically intensifies around this price range, causing a drawdown that the market has struggled to break free from for over four weeks.

The current market sentiment is largely bullish, and Dogecoin may benefit from this momentum to sustain its recent growth. To reach the $0.2 mark, it would need to appreciate by an additional 17%. The recent surge in whale transactions suggests that achieving this milestone in the near term is feasible, as a supply crunch is gradually developing.

Additionally, the anticipation surrounding the potential approval of a spot Ethereum ETF this week is likely to buoy the price of Dogecoin, along with other meme coins. Beyond the immediate $0.2 target, the long-term price objective for DOGE remains at $1.