Dogecoin Analysis: Potential for a Major Breakout
Dogecoin continues its consolidation phase, trading at $0.169. This comes after a slight decline from its recent high of $0.19 in late April. Despite the pullback, the cryptocurrency’s current price action remains robust when compared to its earlier dip to $0.14 in early April. The present consolidation pattern suggests that Dogecoin might be gearing up for a significant upward movement, similar to its past explosive rallies. This insight comes from renowned crypto analyst, MasterAnanda, who believes that the ongoing consolidation could be a precursor to a substantial breakout.
Dogecoin’s Chart Signals a Potential Bullish Repeat
MasterAnanda’s analysis focuses on a repetitive pattern observed on Dogecoin’s daily candlestick chart, which features three distinct lows marked as (1), (2), and (3). These lows are mirrored on both sides of the chart, dating back to July through October 2024, with each low indicating a phase of price correction. The current pattern mirrors this trajectory, marking recent lows in the current 2025 price structure.
Notably, the formation of a higher low at point (3) in September 2024 triggered a significant bullish impulse, propelling Dogecoin towards the $0.50 mark. The analyst suggests that Dogecoin is replicating this setup, as the present (3) low forms a higher low compared to (2).
Possibility of a Retest and Breakout
The descending wedge pattern observed from February to April has already been breached, suggesting a potential for upward momentum. Although the $0.145 support level has been robustly tested three times over the past two months, there remains a possibility of a retest around the third low before a rebound.
Analyst Recommends Aggressive Buying and Holding Through Dips
MasterAnanda’s analysis indicates that Dogecoin might revisit the $0.145 zone to complete the third low formation before an upward surge. Contrary to a cautious approach, the analyst advocates for aggressive buying during this phase. In his TradingView post, he emphasized that this period is not ideal for selling Dogecoin but rather for purchasing more, as the cryptocurrency enters its most potent growth phase since the 2021 bull market. He advises removing stop-loss orders and seizing any short-term dip as a rare buying opportunity. For those unable to invest more, holding existing positions is recommended.
In 2024, a similar pattern resulted in a remarkable 380% increase, reaching a multi-year high of $0.48. If history repeats itself, a comparable rally from $0.145 could project Dogecoin’s price near $0.70, potentially returning it to its all-time high territory. Although MasterAnanda did not explicitly state such an ambitious target, he highlighted a move beyond $0.40 as a minimum expectation given the current setup.
Currently, Dogecoin is trading at $0.1695, indicating a potential for further gains.
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