Dogecoin Poised For A Huge Breakout: Here’s Why Today Could Be The Day

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As a seasoned analyst with over two decades of experience in the financial markets, I have witnessed countless bull and bear cycles, and the evolution of various asset classes. In recent years, my focus has shifted towards the cryptocurrency realm, particularly altcoins like Dogecoin (DOGE).

The price of Dogecoin (DOGE) is currently at a crucial moment, as technical experts are predicting a possible major jump. Notable crypto analyst Rekt Capital has spotted a key trend on the Dogecoin-to-USD daily price graph, indicating an upcoming rise might be imminent.

Will Dogecoin Price Confirm The Breakout Today?

Looking at Dogecoin’s daily chart, we can see the development of an ascending triangle pattern over the past few weeks. This is often interpreted as a bullish signal, marked by a horizontal upper resistance and a rising lower support line. The formation suggests that there’s growing buying pressure, as each price drop becomes less severe—indicating that investors are increasingly willing to buy at progressively higher prices.

1) In this triangle formation, the upper edge is roughly at 0.44, a point that has been tested often and acts as a strong obstacle for further growth. The upward trendline offering support starts around 0.34 and gradually ascends, defining the lower part of the triangle and emphasizing progressively stronger support zones.

Rekt Capital underscores the significance of the ongoing price trend for Dogecoin, pointing out that: “Dogecoin has mirrored Bitcoin‘s movements up until now. At present, it is being tested at the top of an Ascending Triangle as potential support. A successful test here is vital to establish a confirmed breakout.” If this test strengthens the triangle’s upper boundary as a new level of support, it might open the door for a significant price surge.

To find the possible peak of the breakout, measure the highest point of the triangle (from approximately $0.34 at the base to $0.44 at the apex), then extend this distance upward from the breakout level. This implies that Dogecoin may potentially hit or surpass the $0.54 threshold.

Dogecoin Price Analysis (4-Hour Chart)

A well-known cryptocurrency expert, Satoshi Flipper (@SatoshiFlipper), has shared his observations from a 4-hour Dogecoin/USD chart. He points out that Dogecoin is currently in a consolidation phase, which has lasted nearly a month, but the ascending channel it’s forming is looking very strong, and when it breaks out, it will be an extraordinary event – just hold on.

The chart illustrates an ascending channel pattern, characterized by two parallel upward-sloping lines containing the price action. This pattern is recognized as bullish, formed by higher lows and higher highs. The Dogecoin price has been oscillating between these lines, with the lower line acting as support and the upper line as resistance.

At the moment, the price is approaching a key area of resistance at approximately $0.46, as this region lies in the middle of a channel. Important levels to keep an eye on include: The lower boundary offers support around $0.40, while $0.52 represents potential resistance that could trigger Dogecoin’s next significant price action.

After a breakout from an ascending channel, you can estimate the potential price target by determining the channel’s maximum height and adding it to the breakout point. This calculation indicates that Dogecoin (DOGE) might increase up to approximately $0.64.

Today, December 5th, an additional factor might significantly affect DOGE’s price. As per NewsBTC, Elon Musk and Vivek Ramaswamy are scheduled to speak before Congress. They plan to present crucial proposals under the Department of Government Efficiency (DOGE). This potential Congressional discussion could hold significant weight on Dogecoin’s price, given that Elon Musk’s past interactions with the memecoin have been known to sway market sentiment.

At press time, DOGE traded at $0.44.

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2024-12-06 01:16