The Dogecoin price chart hints at a potential ascending triangle pattern formation, which could propel its price to new levels. In an X (formerly Twitter) post, a crypto analyst revealed that if the popular meme coin succeeds in creating this bullish technical pattern, it could trigger a price surge to $0.56.
Dogecoin Price Eyes $0.5 Surge
According to crypto analyst Rekt Capital, Dogecoin is showing signs of forming a possible Ascending Triangle pattern on its price chart, signaling a potential breakout to a new price target at $0.56 target. Typically, an Ascending Triangle forms when a cryptocurrency breaches the upper horizontal trend line with a subsequent rise in volume. This technical indicator is often flagged as bullish as it forms during an uptrend as a continuation pattern.
Rekt Capital’s Dogecoin chart highlights the cryptocurrency’s price action this Q4, pinpointing a potential Ascending Triangle formation that appears to have started following DOGE’s recent price rally. Earlier this month, the Dogecoin price skyrocketed from around $0.2 to over $0.4, recording impressive gains as the demand for meme coins surged.
Based on the analyst’s statements, this bullish trend could be augmented if the Ascending triangle formation is confirmed. Rekt Capital has revealed that if the current pattern in the Dogecoin chart is indeed an Ascending triangle, the cryptocurrency could witness a significant price increase to $0.569.
The analyst also reveals that if Dogecoin successfully forms this triangle pattern, it could increase investor confidence and trigger money flow into other meme coins. Similar to how a Bitcoin price rally influences the trajectory of lower-cap altcoins, a Dogecoin price surge also impacts other meme coins in the market.
More often than not, meme coins like Shiba Inu (SHIB), Pepe (PEPE) and others tend to follow Dogecoin’s bullish trend, experiencing major price increases after the DOGE’s momentum diminishes slightly.
For the Ascending Triangle pattern to be confirmed, Rekt Capital has revealed that Dogecoin needs to close a daily candle above the resistance level at $0.43. This means the meme coin must trade above this level to move towards $0.56 or higher.
Analyst Says Dogecoin’s Real Target Is Above $2
Prominent crypto analyst Bluntz has disclosed that the real price target for Dogecoin this cycle is $2.2. The analyst acknowledged that the Dogecoin price could reach $1, but this target was a bit underwhelming for the popular meme coin.
Bluntz has also revealed that the DOGE/BTC pair has had an impressive performance this year, and he expects it to hit a new all-time high this cycle. Currently, at 0.00000436, the analyst projected a rise to 0.00002, marking a 373.68% increase at the 1.618 Fibonacci level.
Currently, the price of Dogecoin is $0.42, reflecting a 6.5% surge in the last 24 hours despite declining by over 6% in the past week. CoinMarketCap’s data has also revealed that the Dogecoin daily trading volume is up 82%, underscoring increasing interest and demand from investors.
Featured image created with Dall.E, chart from Tradingview.com