Dogecoin (DOGE), currently the largest coin in terms of market capitalization, hints at the start of a new uptrend. Experts expect notable volatility in the price of Dogecoin in the near future.
Market analyst Ceciliones gave a fresh outlook and expects Dogecoin to trade at $1 due to the formation of a bullish pennant pattern.
Dogecoin is currently hovering between $0.43 and $0.44 and the analyst believes that memecoin could rise by over 128% of its current value to reach $1.
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Bullish pennant pattern signals rising Dogecoin prices
The bullish pennant pattern shown by Ceciliones is a technical formation that indicates that the existing upward price trend is likely to repeat.
This trend is observed after a substantial price rise followed by consolidation and a second breakout.
The analyst explains that on the current Dogecoin chart, there is a bullish consolidation pattern, which could be followed by a surge.
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Analyzing the DOGE/USDT 12-hour chart (12H) presented by Ceciliones, Dogecoin proves that it is ready for a breakout.
The price has been contained within the bullish pennant for a long time and the center lines of the chart indicate that the upward movement is due.
This trend has always been valid in the past to signal the start of a price increase, and if so, Dogecoin could be prepared to climb towards $1.
This would result in a price increase of 128% from current price levels.
Technical indicators confirm bullish outlook
Ceciliones’ analysis is further supported by several technical indicators that suggest that the price of Dogecoin will continue to rise.
The MACD line is at 0.00266 while the signal line is at 0.00129, with an upward crossover. This is a bullish signal.
The crossover ended recently, indicating that there is growing purchasing power.
Additionally, the MACD indicator has moved from a bearish state to a bullish position as both lines are tilted upwards in tangent with possible price improvements.
In addition, we notice an upward trend in the green bars in the histogram. This shows that the bars are getting bigger after a crossover, which indicates the uptrend on momentum.
Raised bars have been rising recently, indicating increased buying pressure.
Conversely, Dogecoin’s relative strength index (RSI) is 61, meaning the asset is not yet overbought. When the RSI index is above 70, it often indicates oversold and therefore the asset is likely to correct.
So, as the current RSI value of Dogecoin is still below this level, the potential for new price growth remains.
This implies that the current uptrend could persist, hence a rational price target of $1 as projected here.
Market Observations by Other Analysts
Several other cryptocurrency industry analysts have also weighed in on the Dogecoin price trend.
A user, identified only as NOS4RA2x, commented in another TradingView analysis that Dogecoin is showing bullish signals.
This involves identifying a bullish ascending channel indicating that Dogecoin price could be set for a breakout.
Based on this analysis, Dogecoin’s target could be at the 1.618 Fibonacci extension, at around $1.15627. This would confirm the idea that the price of Dogecoin is likely to increase significantly.
Furthermore, another market analyst, Jacob Canfield, gave similar target price predictions. He said that Dogecoin may reflect the same type of price movement as the XRP price surge.
According to Canfield’s analysis, the meme coin could even reach $1.15 as other analysts also predict Dogecoin heading towards the bulls in the coming weeks.
At the time of going to press, Dogecoin Price is trading at $0.4455, up 6% in the last 24 hours. The market capitalization stands at $65.52 billion, an increase of 6.60%.
Trading volume jumped 54% to $14.19 billion, with a volume-to-market cap ratio of 22.07%. The 1-day chart shows a rebound from $0.4184 to $0.45, signaling strong buying momentum.