An expert of the market has talked about a new trend in the Dogecoin market and said that the price could go up to $1 if past trends happen again.
In another piece on X, analyst Ali examines the trend that can be seen in how the price of Dogecoin changes every week.
Ali talks about the appearance of a famous technical analysis pattern called the “Descending Triangle,” which looks like a triangle.
Dogecoin’s Triangle Breakout Analysis
This design is made up of two trendlines, one that goes down and the other that runs parallel to the time axis. This makes the prices in the triangle come together. The upper trendline acts as a level of resistance, and the lower line acts as a level of support. These levels affect how prices might move.
If the price breaks through either of these trendlines, it usually means that the current trend will continue. An upward breakout is seen as positive and a downward breakout as bearish.
The “Ascending Triangle,” a related pattern in technical analysis, works the same way but with a lower trendline that slopes upward.
If you look at Dogecoin’s 1-week price chart, you can see that it has been stuck in a Descending Triangle pattern for a long time before it recently broke out. Even though Dogecoin has been moving sideways for a while, it has generally shown consolidation after breakouts.
Dogecoin’s value has gone up a lot when similar patterns have shown up in the past, which has led to speculation that the current pattern may also lead to a bullish ending if historical trends continue.
He states that Based on historical data, there’s potential for Dogecoin to surge towards $1 in the coming weeks. A move like this would mean an enormous 525% rise from the current spot price of about $0.16.
Even though the price of Dogecoin recently dropped, it has stayed around $0.16 and not changed much.
