A timeline for Dogecoin’s breakout has been provided by a market analyst, who based the forecast on historical trends.
Significant declines have been triggered for the meme coin as part of its ongoing pullback. Historically, Dogecoin rallied following the U.S. presidential election held on Nov. 5.
Excitement in the crypto community was sparked when pro-crypto candidate Donald Trump won the election. By Dec. 8, Dogecoin’s value rose to $0.48. However, as the broader market corrected, DOGE’s price dropped 36% within two weeks.
Despite this downturn, the correction is seen by analysts as part of a healthy market cycle. Predictions of a strong rebound have been made. Javier Santini, a market analyst and founder of Elemento Cripto, identified patterns in Dogecoin’s historical data and anticipates an imminent rally.
DOGE’s Historical Pullback Patterns
Santini’s analysis reveals that Dogecoin’s price corrections below the previous cycle’s all-time high often persist for about a month before an upward trend resumes. Weekly charts shared by Santini highlight a consistent pattern since 2017.
In January 2014, Dogecoin reached an all-time high of $0.00232, followed by a correction phase that lasted until March 2017. During this time, prices fell as low as $0.00022.
A breakout occurred in March 2017, leading to a month-long pullback before a new all-time high of $0.0187 was achieved in January 2018. Subsequently, another extended correction took place, forming a descending trendline. This trendline broke in December 2020, initiating another rally. A month-long pullback was again observed before Dogecoin surged to its latest all-time high of $0.7390 in May 2021.
Predictions for Dogecoin’s Target of $4
The current market trend suggests that a similar cycle is repeating. A breakout from the latest descending trendline in Q4 2024 resulted in a 161% rally during November.
December’s correction is expected by Santini to last approximately one month. The uptrend is predicted to resume in the coming week, with a price target of $4 set by the analyst. This target is expected to be reached in under a week.
Could DOGE Rally to $18 After a 46% Drop? Historical Trends Suggest It Might
For Dogecoin to achieve this milestone, a surge of 1,168% from its current trading price of $0.3253 would be necessary. Santini’s confidence stems from Dogecoin’s historical consistency, where each breakout phase has led to new highs.
Related Article: Dogecoin Faces Resistance Amid Consolidation, Showing Minor 1.06% Decrease: 24-Hour Price Analysis
Santini’s prediction aligns with that of another analyst, @Degengambleh, who projects Dogecoin reaching $4.20. The 1,000-day accumulation trend highlighted in the analysis is viewed as a foundation for this major rally.
Related Article:Could DOGE Rally to $18 After a 46% Drop? Historical Trends Suggest It Might
This trend was noted when Dogecoin traded at $0.1713 in March 2024.
