In a latest evaluation shared by famend crypto analyst, Jaydee, Dogecoin (DOGE) seems to be setting the stage for a probably important worth rally. The chart showcases a collection of technical indicators and patterns that trace in direction of a bullish trajectory for the meme coin, with a projected worth goal above $1.5.
In a tweet accompanying the chart, Jaydee remarked: “Dogecoin – meme (shitcoin) with a phenomenal chart construction! Will DOGE have that confirmed breakout?! Final time it broke out from a multi-year triangle, it 380x in worth! Related construction in comparison with the 2020-2021 breakout!”
Dogecoin Worth Prints Historic Purchase Sign
The chart offered by Jaydee shows the DOGE/USD buying and selling pair with a bi-weekly timeframe. Dogecoin’s worth historical past, as highlighted within the chart, reveals two important breakout factors.
The primary breakout happened in 2017, the place the value surged from under $0.003 in March 2017 to a peak of $0.0193 in January 2018. The second notable breakout occurred across the finish of 2020 until April 2021, skyrocketing the DOGE worth from about $0.035 to an all-time excessive near $0.76.
Over the previous few two years, from April 2021 until just lately, Dogecoin’s worth has been forming a symmetrical triangle sample once more. It is a basic continuation sample, and given DOGE’s previous bullish momentum, a breakout from this triangle to the upside appears believable.
Remarkably, DOGE’s 380x worth rise was additionally preceded by a multi-year triangular formation. On the finish of 2020, DOGE broke out of the formation, however first skilled a profitable retest of the trendline and a brief sideways section of round three months earlier than the large rally.
Jaydee’s evaluation signifies that the DOGE worth has begun its breakout from this symmetrical triangle with this week’s candle, hinting at a continuation of its earlier bullish pattern. If historical past repeats itself, DOGE may first expertise one other minor pullback, adopted by a brief sideways section, earlier than the ascent in direction of the present all-time excessive begins.
By extrapolating from previous efficiency and the current chart construction, Jaydee’s evaluation proposes {that a} confirmed breakout may see DOGE aiming for the $1.5 worth vary someday in 2024, as detailed with the blue arrow within the chart.
The chart humorously remarks that “BEGINNERS will likely be shopping for up right here.. SMH! LOL!”, suggesting that novice merchants could be lured into shopping for on the peak. Whereas it’s a lighthearted word, it’s additionally a cautionary story for merchants to conduct their due diligence and never observe the herd mentality.
Whereas the 2-week chart in Jaydee’s evaluation has already posted a bullish breakout sign, the 1-day chart nonetheless seems considerably totally different. The worth continues to be under the trendline (black), at which Dogecoin has been rejected a number of instances since December final yr. Nevertheless, DOGE has crossed the 0.236 Fibonacci retracement degree at $0.0692 and is now approaching the trendline once more.
Featured picture from Shutterstock, chart from TradingView.com
