Recent data indicates that the price of Dogecoin is fluctuating within a symmetrical triangle, which may foreshadow significant movement.
Formation of a Symmetrical Triangle
Analyst Ali Martinez pointed out that Dogecoin price is approaching a key inflection point. His chart shows a symmetrical triangle pattern formed by a down resistance from November 2023 and an up support from October 2023.
Ali stated that a daily candle close outside the $0.16 to $0.22 range would likely confirm the next trend's direction.
Bullish Predictions for $5
Analytical group CryptoELITES presented a more optimistic forecast, suggesting that the Dogecoin price could reach $5. Their chart indicates that similar triangle formations in the past have led to significant upward movements.
According to analysts, if the pattern repeats, Dogecoin's price could rally by thousands of percent. However, such movement would require active demand from retail investors and a favorable macroeconomic condition.
Short-Term Support and $0.16 Level Required
Meanwhile, trader Tardigrade noticed an ascending triangle forming on the hourly chart, suggesting resistance around $0.172 and potential for breakout above $0.1725.
Despite bullish setups, Dogecoin must maintain the $0.16 support level to prevent downside risk. Daily closes below this price may lead to corrections below that level.
Observations of Dogecoin price indicate readiness for a potential breakout. However, established support and resistance levels will dictate the further trajectory of price movement.
