Is Dogecoin Price Set For A Massive 8,100% Rally To $30 Soon

Dogecoin analysts have noticed a particular pattern in the token’s price that suggests a possible breakout soon.

According to Trader Tardigrade, the current Dogecoin chart looks identical to the 2020/2021 price action.

Within that period, the token formed two bottom formations and then a descending channel breakout.

In 2020, Dogecoin was trading at $0.002452 before kick-starting a major upward trend. This was also observed in 2021 which resulted in a surge of 3,366%.

Similarly, at the press time, we can see that Dogecoin has two bottoms and a descending channel in the market. This implies that there might be a break out in the next few weeks.

Current DOGE Price Suggests a Potential 8,158% Rally if the $30 Target Is Reached

Currently, Dogecoin is trading at approximately $0.31 after a decline from the $0.40 zone. However, there are some analysts who forecast an aggressive surge to $30. If this is to happen, then current holders are in for a 8,158% gain.

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The present price behavior aligns with previous historical trends, including the lateral moves that precede a strong rally. This has made experts predict that Dogecoin is set for a similar rally.

If Dogecoin hits the $30 mark, its market capitalization will be over $4 trillion.

If this happens, then Dogecoin will be among the biggest financial assets in the world. For this valuation to be reached, there needs to be favorable market conditions with high usage and high investor interest.

While some may regard this goal as unattainable, the proponents of this target say that Dogecoin’s past performance is a good indicator of what may be achieved in the future.

Some people, however, argue that such a market cap would be possible only if demand and liquidity are maintained at a certain level.

Another analyst recently predicted that the price of DOGE could range between $3 and $15, which could be influenced by collaboration with Arkham Intelligence.

This opens up the possibility of a significant price surge given Dogecoin’s historical pattern of accumulation and breakout.

These patterns indicate that this phase could experience a strong rally, a potential to even break its previous all time high.

DOGE Price Analysis

Dogecoin prices have held firm around $0.31 after the recent drop which placed the coin in a consolidation pattern.

This price level therefore represents a temporary dip in a long term rally. On the weekly timeframe, technical indicators are in a descending channel, which is often prior to an upward breakout in similar conditions.

On the bullish note, the Relative Strength Index (RSI) on Dogecoin’s 4-hour chart is at 20.90 which is oversold.

This level is way below the middle line of 50 which implies that the selling pressure is on the rise. As a rule, RSI levels below 30 are followed by bullish reversals as it means that the asset is oversold.

Traders consider such oversold conditions as potential opportunities to enter the market once the price begins to rise again due to increased buying pressure.

However, the history of Dogecoin shows that after consolidation it has always seen a strong bounce back.

Experts predict green candles in the next few weeks if Dogecoin will behave as it did in 2020 and 2021.