Dogecoin price is showing signs of strength on November 19 and could surpass the psychological $4 level this cycle according to one analyst. The expert speculates that this $4 target is not “too big” and that DOGE could surpass this level for a critical reason.
At the time of going to press, the DOGE Price is trading around $03874, representing an increase of 3.7% in the last 24 hours. DOGE recorded an intraday high of $0.3894 and a daily low of $0.3591.
After the breakout and technical analysis, the meme coin potentially reached new all-time highs. Can Dogecoin achieve this?
Analyst forecasts $4 target for Dogecoin price
Crypto analyst Zer0 speculated that Dogecoin could surpass $4. The analyst believes that the narrative behind Dogecoin is too big compared to the current market price of DOGE, meaning the meme coin is undervalued.
If you think $4 is too ambitious a goal for $DOGEyou are clearly new here.
There is now an entire department named after him.
This shit can get crazy beyond belief
– Zer0 🕊️ (@degengambleh) November 18, 2024
If the price of Dogecoin climbed to $4, the asset’s market capitalization would reach $584 billion. Given the popularity of Dogecoin and the creation of Department of Government Effectiveness (DOGE)the coin itself will likely reach this valuation.
Another analyst, Bluntz, predicted that even if DOGE will riseit will be a “slow grind”. However, the slow rise could turn into a parabolic run after about a week.
This bullish outlook is in line with the recent breakout that led to a triple-digit rally.
Dogecoin Price Rally: What Triggered the Breakout?
After hitting a high of $0.43910, DOGE began to consolidate as investors rushed to book profits. DOGE price returned to a low of $0.3398, forming a symmetrical triangle that is part of a bullish pennant.
The breakout was caused by a massive influx of large investors into the coin, as shown by on-chain metrics. Sentiment Analysis shows that large holders holding between 10 and 100 million coins just hit a 2-year high. The last time there were this many large holders in this category was February 2022. This category also surpassed the one million to 10 million coin category, indicating that larger whales are taking positions in Dogecoin .
This breakout is a turning point in the price action of Dogecoin as it marks the end of the consolidation breakout and the start of the next ascending stage.
Dogecoin’s daily trading volume fell during the consolidation period, which is typical of a reduction in activity as investors wait for a clear breakout signal to return.
Dogecoin Technical Analysis: DOGE Needs to Overcome These Major Obstacles
Dogecoin Price Forecast is a clear uptrend, with a large impulsive wave followed by a consolidation phase in a symmetrical triangle. This suggests a potential continuation of the bullish momentum.
Now that the asset has broken out of the range, DOGE price may encounter resistance around $0.44 (the local high), $0.55 (the major resistance), and $0.76 (the projected target based on the triangle breakout).
On the other hand, if market conditions change, Dogecoin will likely find support near $0.36 (the local support inside the triangle) and $0.31 (the key swing low support).
Looking at technical indicators, recent candles at the edge of the symmetrical triangle show small bullish candlesticks. This indicates indecision with a bullish bias as buyers approach the breakout zone.
Frequently Asked Questions (FAQ)
Dogecoin’s breakout follows a period of consolidation and is driven by increased whale activity. Large holders holding 10-100 million DOGE coins hit a 2-year high, signaling renewed investor interest.
Analysts believe $4 is achievable, with Dogecoin’s market cap reaching $584 billion. However, this would require sustained momentum and support from individual and institutional investors.
On-chain metrics show an increase in the number of large holders and trading volume recovers after the consolidation phase, indicating strong market participation.
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Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the gaming industry. His extensive experience includes working with various startups to deliver insightful, high-quality analytics that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across various industries. Outside of his professional activities, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: Content presented may include the author’s personal opinion and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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