Dogecoin (DOGE) may be gearing up for a significant price surge as technical indicators suggest the meme coin is on the verge of completing its fourth Falling Wedge pattern.
A popular crypto analyst, Trader Tardigrade, has pointed to previous breakouts from similar formations that have resulted in strong rallies, with one cycle recording an impressive 445% gain.
A Falling Wedge is a bullish technical pattern that typically signals a trend reversal. It forms when a cryptocurrency’s price moves between two downward converging trendlines, indicating consolidation during a downtrend. This often leads to a breakout and a price increase.
The analyst’s chart suggests that past breakouts from the Falling Wedge have led to price rallies that surpassed previous highs, and with the current setup, a breakout could propel Dogecoin towards $1.
In the past, Dogecoin has experienced substantial gains following similar breakouts. For example, after breaking out from a Falling Wedge in November 2023, Dogecoin saw an 88% price increase, reaching a high of $0.11.
In March 2024, a similar breakout resulted in a 208% surge, bringing the price between $0.22 and $0.25. The most recent breakout in November 2024 led to a dramatic 445% rally, pushing Dogecoin to $0.4.
According to Tardigrade’s analysis, if this pattern holds, DOGE could see a powerful surge, possibly reaching $1.5, marking a 650% increase from its current price of $0.2. Despite recent downward pressure, which caused a 57% price drop, Tardigrade is optimistic about Dogecoin’s future.
The analyst points out that DOGE has previously rebounded swiftly after declines of over 55%, including in the 2017 and 2020 bull cycles, when the coin saw sharp declines but then experienced rapid rallies to new highs.
Based on this historical pattern, Tardigrade predicts that once Dogecoin reaches a key retest level, a massive bull run could be on the horizon.
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