Dogecoin Price Prediction: Analyst Predicts 250% Upside in May 2024 Based on the Historical Patterns

Key Insights

• The crypto market is down, including Bitcoin, but this could be a buying opportunity for Dogecoin in the long run.

• Analyst Ali Martinez sees massive bullishness with Dogecoin's recent breakout from a descending triangle.

• Dogecoin has experienced breakouts like these in 2017 and 2021, followed by strong price rallies.

• Based on historical trends, Dogecoin might see a rebound in May, allowing it to hit $0.3488 in a 250% increase.

• A break below $0.1 could indicate a further decline, but a retest and bounce back are more likely.

The crypto market is currently down on all timeframes, particularly with Bitcoin.

While this is bad news in the short term, it is incredibly bullish in the longer term.

As it happens, if analyst Ali Martinez's recent insights posted on X hold true, Dogecoin may turn out to be the next big thing.

In a recent tweet from an analyst on Twitter, Dogecoin's current behaviour in terms of price may be one of the first indicators of an incoming surge, based on historical patterns, of course.

Understanding the Descending Triangle

Martinez drew attention to a recurring pattern on Dogecoin in a recent tweet.

This pattern is known as a “descending triangle”, which typically consists of a descending trendline, and a flat base, as shown below.

This descending triangle is regarded as bearish in most cases. However, according to Martinez, the outlook for Dogecoin may be different this time around.

Historically, Dogecoin’s descending triangles have always led to staggering bullish breakouts, as we will soon see.

"The ongoing Dogecoin price correction is part of its usual behaviour before massive bull runs!" Martinez says.

He also highlighted the 2017 bull market, in which he noted that after Dogecoin broke out of the descending triangle at the time, it retraced by 40%, only to explode upwards by a staggering 982%.

Like clockwork, four years after that in 2021, the pattern repeated itself, with DOGE breaking out of a similar formation, retracing by 56%, and then exploding upwards by a staggering 12,197%.

The Pattern Has Repeated Itself

As of writing, Dogecoin has done something similar to 2017 and 2021 and has already broken above a descending triangle as shown by the chart below:

Moreover, Dogecoin has also once again registered a 47% price correction.

Martinez sees similarities between these two events and is now suggesting that Dogecoin may be about to repeat itself very soon.

This means that if past patterns hold sway over the memecoin, the current Dogecoin dip might be the calm before a massive storm. 

“Over the years, Dogecoin appears to mirror its previous bull cycles! All you need is a little bit of patience,” Martinez concluded.

How Will Dogecoin Perform in May 2024?

According to data from CoinMarketCap, Dogecoin currently trades at around $0.1274, and is shaping up pretty nicely with a 3% recovery over the daily timeframe:

In the charts, we can see Dogecoin currently testing its lower Bollinger band, and just hanging on top of the psychological $0.1 support.

Historically, data from CoinCodex shows that every second quarter of the year since 2013, Dogecoin has moved up by an average of 109%.

Considering how May marks the midpoint of the second quarter of 2024, this might do something to offset the 31% decline from April 2024.

In the charts, the outlook for Dogecoin is that we might indeed see a retest of $0.1, after which the bulls will stage a comeback (as long as we don’t see a break below $0.1).

Overall, if May happens to be Dogecoin’s month, a rebound from $0.1 and a retest of the $0.3488 resistance would take the memecoin up by a staggering 250% to the upside.

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