- An crypto analyst predicts a potential Dogecoin breakout as historical price patterns begin to repeat.
- Dogecoin’s next move could signal a broader altcoin rally, based on key technical patterns.
Dogecoin (DOGE), one of the most well-known altcoins, has piqued the interest of analysts and traders alike because of its previous price patterns and potential for a breakthrough.
As of today, the cryptocurrency is trading at roughly $0.1005, down 1.68% over the last 24 hours, bringing its market cap below $15 billion. Despite this fall, many feel Dogecoin is on the verge of a huge bullish rise, citing historical trends and recent on-chain statistics.
Analyst Highlights Dogecoin’s Role in Predicting Altcoin Market Trends
A significant tweet from famous crypto analyst Crypto Anbu underlines the necessity of properly monitoring Dogecoin. Anbu suggests keeping a close watch on Dogecoin, noting that as one of the major altcoins, it often signals the next upward movement in the overall altcoin market.
He explains how DOGE has continuously followed a specific pricing pattern over the last two market cycles. Specifically, Dogecoin has consistently created a descending triangle pattern from prior all-time highs before finally breaking out.
Anbu believes that the larger altcoin market, excluding the top ten coins (referred to as OTHERS), follows Dogecoin’s movements.
This is demonstrated by the handle-like price action seen in the market cap of OTHERS just before past DOGE rallies. According to his analysis, the same pattern looks to be playing out again, indicating that Dogecoin may lead the next altcoin rally.
Key Resistance Level for DOGE Approaching
On-chain analyst Ali Martinez adds to the discussion, stating that Dogecoin is approaching a significant resistance level of $0.11.In a recent tweet, Martinez advised that those expecting a Dogecoin breakout should be aware of the key resistance level at $0.11, where 23,400 addresses hold approximately 31 billion DOGE.
This resistance zone has previously been shown to be a significant barrier for Dogecoin, and breaking through it could signal the start of a new price surge.
Dogecoin’s technical patterns have long fascinated traders, and the current situation is no exception. Previously, Crypto News Flash (CNF) noted that another notable analyst predicted a significant bullish wave for Dogecoin.
The analyst found that Dogecoin was creating a Falling Wedge pattern, a technical configuration that traders frequently deem bullish. A breakout above this pattern could result in significant market changes.
However, recent market statistics reveal that Open Interest (OI), which measures the total number of outstanding futures contracts, has declined by 3.80% to $469.15 million. This fall in OI may suggest market uncertainty as traders lower their positions in anticipation of a potential move.
Beside that, as we previously reported, NEIRO, a new memecoin, has taken the spotlight with its spectacular price movement.
NEIRO increased by more than 1,000% in a single night, generating substantial interest from the crypto market. However, NEIROETH, experienced a sharp contrast, falling by more than 40% within the same period.
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