The recent price action suggests that Dogecoin's upward momentum may be revived amid increased volatility in the cryptocurrency market as a whole. As a result, some cryptocurrency analysts continue to be confident in the upward trajectory of the dog-themed meme coin.
Dogecoin is on its way up Despite the generally bearish market, there are bullish signs in Dogecoin's current price performance. Market expert and investor Trader Tardigrade noted that Dogecoin could be ready to make a major move in the near future.
This bold prediction shows that the meme coin remains resilient and stable in the face of deteriorating market conditions. His growing confidence in Dogecoin is entirely due to the bullish trend in Dogecoin's 3-day time frame, especially the uptrend area.
According to market experts, Dogecoin has transformed the previous resistance level into a support level, indicating that the price action of the meme coin will regain strength. At the same time, prices fell in the uptrend area.
Investors and traders have taken note of this bullish trend as a possible basis for future upward momentum. Trader Tardigrade claims that this development is a good and encouraging sign that the market continues to move in the right direction.
Dogecoin has further demonstrated its potential to rise significantly after forming an upward channel pattern. This key pattern, also known as the ascending channel, consists of two upward lines that represent resistance and support or higher highs and higher lows.
Experts stressed that dogecoin forms a key form from the bottom and is now close to the channel online. As market sentiment improves, if Dogecoin can break out of this new shape, it may pave the way for a significant price increase in the coming days.
Trader Tardigrade stressed that the expected breakout could happen soon, citing the reappearance of large bullish candles observed in January 2021. He expects that the official announcement that business mogul Elon Musk will take over as head of DOGE (Department of Government Efficiency) in January 2025 will drive the price of the meme coin, possibly to an all-time high.
Dogecoin continues to show a bearish trend and its short-term potential is cause for concern. The continued decline has dented investor confidence and led to a nearly 25 per cent drop in trading volumes over the past day.
At the time of writing, DOGE is trading at $0.31, indicating a decline of more than 20% in the last 7 days. Once DOGE regains its bullish momentum, the next key resistance level to watch out for could be $0.337. Justin Bennet, technical analyst and trader, expects the meme token to rally to $0.48 and $0.74 if it recaptures the level of $0.337 or higher in the daily time frame.