A cryptocurrency analyst has discovered that the price of Dogecoin may be on a strong upward trend. Despite Dogecoin experiencing a severe price slump of over 46% and dropping to a new low, the analyst is optimistic about its future performance.

During the price correction in December, Dogecoin plummeted by 46% from its yearly high, and its momentum cooled significantly. However, despite this correction, Dogecoin still shows signs of recovery and has regained vitality after a substantial increase in January.

The cryptocurrency analyst Maelius shared on X (formerly Twitter) that the recent decline in Dogecoin may have pushed its price to a bottom point, potentially laying the groundwork for its next bullish move. According to his analysis report, which pointed out the price movements of Dogecoin in previous cycles, the consistency of the previous price fluctuations has increased the likelihood that the meme coin has bottomed out.

Judging from the analyst's Dogecoin chart, the price history of this meme coin presents a cyclical volatility pattern, characterized by sharp increases followed by significant pullbacks. Each increase marked by wave numbers on the chart has been strengthened in various cycles.

For example, in April 2021, Dogecoin dropped by 53% and then soared by 1,175%, reaching an all - time high. A similar but more severe price decline occurred during the bear market from July 2022 to 2023. At that time, the price of Dogecoin experienced multiple drops and a long - term consolidation period. By the end of 2023, this meme coin saw a modest recovery, with a 308% price increase.

Another notable aspect of Maelius' analysis is the highlighted buy zone on the Dogecoin price chart. This key area has historically been a strong supply level for Dogecoin, representing the price range where demand surges and accumulation occurs.

Maelius said that Dogecoin has rebounded from this buy zone, and this development is seen as a positive step for the next increase of this meme coin. Believing that Dogecoin has bottomed out and has recently rebounded from the buy zone, the analyst expects the bullish momentum to drive this meme coin to a new all - time high of $2.3.

Maelius also pointed out that each increase in the previous cycles was stronger than the previous one, meaning that the next price increase of Dogecoin may be more powerful than the previous cycles.

The new Dogecoin price analysis by trader Tardigrade shows that this meme coin is currently forming a new bullish pennant on its 4 - hour chart. A bullish pennant is a technical chart pattern similar to a small symmetrical triangle, indicating a potential continuation of the upward trend.

In the case of Dogecoin, the formation of the bullish pennant indicates that after the previous rebound, Dogecoin is consolidating and may be ready for another price surge after breaking through this pattern. Data from CoinMarketCap shows that Dogecoin is slowly recovering, surging by 19.3% in the past week to reach $0.38.