Following a 16% rally the previous week, Dogecoin’s price has entered a downtrend again, mirroring the broader crypto market’s decline. This downturn isn’t entirely unexpected, given that Dogecoin has not met its holders’ expectations for years. However, some popular crypto analysts predict a major opportunity for gains, suggesting the DOGE price could potentially double if certain conditions align favorably.
Why Dogecoin’s Price Might Soon Double?
Dogecoin remains one of the most popular cryptocurrencies, especially among meme coins. Despite its widespread popularity and support from Elon Musk, its price performance has been disappointing. Once peaking at $0.7376 three years ago, Dogecoin’s value has since fallen by over 85%. Currently trading at $0.1034, with a market capitalization of $15 billion and a trading volume of $868 million, there are signs that a comeback may be possible.
Community backing and historical peaks suggest Dogecoin may still have potential. While the anticipated “Uptober” and a broader Bull Run seem far off, there’s hope for significant price movement. Ali Charts, a well-known crypto analyst, has pointed to an event that might double Dogecoin’s value.
According to Ali’s recent analysis, the last two times Dogecoin experienced a MACD bullish crossover on the weekly chart, it led to significant rallies of 90% and 180%, respectively. For instance, one of these surges occurred on October 16, 2023, when Dogecoin’s price reached $0.10 within eight weeks of the crossover. Another such crossover this February saw the price soar to $0.2288—a 178% increase within six weeks.
Ali suggests that another similar MACD bullish crossover might be forming soon, which could lead Dogecoin to double its current value of $0.1034. The Moving Average Convergence Divergence (MACD) is a widely used technical indicator that helps gauge price momentum. A bullish crossover in MACD typically signals the start of an upward trend, potentially setting Dogecoin up for notable gains.
Dogecoin’s Technical Indicators
Dogecoin’s all-time high was $0.7376, and some analysts believe it could eventually reach the $1 mark. While such an increase might not happen in the immediate future, Ali’s analysis points to a potential doubling, with an expected price of around $0.2068—last seen during the March rally.
However, strong selling pressure currently persists, as reflected by most indicators, which show a bearish sentiment in 24-hour charts. This makes an immediate trend reversal unlikely. The RSI (Relative Strength Index) remains neutral, indicating the continuation of existing trends. Currently, Dogecoin is seeking support at $0.09139 after falling below a pivot point. If it fails to rebound from this support level, the downtrend may continue toward the resistance level at $0.013456. If it manages to break past this resistance, Dogecoin’s price could start an uptrend towards a weekly high.
