This bullish pattern hints Dogecoin to target $15, according to trading expert

A cryptocurrency trading expert is predicting that Dogecoin’s (DOGE) technical indicators suggest the meme coin is building momentum for an ambitious 4,000% rally.

Specifically, Ali Martinez has observed that DOGE is trading within a bullish, multi-year ascending parallel channel, which positions the token’s next possible target at $15 in the coming months, according to his X post on January 20.

Typically, this pattern signals a sustained uptrend with higher highs and higher lows. For DOGE, the price has consistently respected the channel’s support and resistance levels since 2017.

The channel’s upper boundary indicates that DOGE could hit $15 if the formation plays out. Such a target would elevate DOGE’s market capitalization to $2.23 trillion, assuming the circulating supply remains constant, potentially ranking it as the top cryptocurrency—provided Bitcoin sees minimal growth.

As reported by Finbold, analysis by Trader Tardigrade stressed the possibility of more upside for Dogecoin, noting that the asset still has room to run in the current bull market as it aims to breach the key $1 resistance.

Dogecoin price catalysts 

The possibility of the meme cryptocurrency pushing toward these ambitious levels is also backed by growing confidence among whale investors. Specifically, data shared by Martinez on January 20 revealed that Dogecoin’s network recorded 588 transactions exceeding $1 million in 24 hours by whale holders.

Historically, such transactions hint at a potential price breakout. When whales accumulate en masse, it often precedes significant price rallies.

In this case, investors may be anticipating further Dogecoin momentum, especially given the buzz surrounding similar tokens. This follows the unveiling of President Donald Trump‘s meme coin, Official Trump (TRUMP), alongside his wife’s MELANIA coin. 

Despite controversies surrounding the launches, both coins have seen significant short-term buying momentum.

Adding to the bullish sentiment, President Trump’s recent return to office and close ties to prominent Dogecoin promoter and Tesla (NASDAQ: TSLA) CEO Elon Musk have heightened excitement. This excitement stems from the fact that Musk is set to lead the Department of Government Efficiency (D.O.G.E).

In this case, the enthusiasm was amplified after the D.O.G.E official website featured the Dogecoin logo. 

There’s also speculation about potential institutional capital inflow into DOGE, spurred by the prospect of a related spot exchange-traded fund (ETF). This is after Rex-Osprey filed multiple meme coin-focused ETFs targeting DOGE, TRUMP, and BONK.

If approved, these ETFs could bring new institutional capital into meme coins, potentially replicating the success of similar Bitcoin products.

Dogecoin price analysis 

At press time, DOGE was trading at $0.37, showing modest gains of 0.14% in the past 24 hours. However, the token is down over 2% on the weekly chart.

While DOGE is experiencing short-term volatility, its current technical setup suggests bullish momentum in both the short and long term. It is trading above its 50-day and 200-day simple moving averages (SMAs).

The relative strength index (RSI), a momentum indicator, reads 50.38, indicating neutral momentum, while moderate volatility at 8.26% suggests stable conditions.

However, it’s important to note that at $15 per coin, DOGE would have a $2.2 trillion market cap based on its current circulating supply. As a proof-of-work cryptocurrency, Dogecoin’s supply is expected to increase over time, boosting the capitalization of Martinez’s prediction.

On that note, Bitcoin (BTC), the leading cryptocurrency, currently has a market cap of $2 trillion, trading above $100,000 per coin. Therefore, this forecast would place DOGE ahead of BTC, which seems unlikely unless driven by significant demand growth.

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