Analysts Predict a Pump: Dogecoin’s Third Cycle is Here!

Dogecoin CMP

What To Know

  • Dogecoin drops 12% weekly but analysts eye a third bullish cycle.
  • Historical patterns suggest DOGE could repeat past explosive rallies.
  • Rising wedge signals risk, yet breakout above $0.29 may spark surge.

Despite current market fluctuations, Dogecoin (DOGE) is capturing the attention of the crypto world. Analysts are strongly suggesting that the original meme coin might be poised to repeat its historical cycles, setting the stage for a spectacular bull run. Has the time come for DOGE to defy expectations once more? CryptoMoonPress dug deeper into the charts and fundamentals to find out if history is truly about to repeat itself.

Will Dogecoin Repeat History?

In the past week, Dogecoin (DOGE) has not escaped the broader upheavals of the markets, having fallen almost 12% while volatility ran riot in the crypto space. The current trading price for DOGE stands at $0.2332 with an impressive $35.2 billion market capitalization, making it one of the most recognized altcoins, despite being a meme coin. However, while retail faces short-term losses, a much broader story is being told by analysts, one that will potentially cause Dogecoin to once again scale historic levels.

Popular crypto analyst EtherNasyonal caused a stir on X by confidently uttering that Dogecoin’s “3rd cycle is inevitable.” The phrase draws attention to the fascinating history of DOGE repeating long-term bullish cycles. The first of the great upswell happens between 2014 and 2016, when the coin quietly started gaining traction, and eventually became the favorite of a cult. The second much more explosive cycle happened between 2018 and 2021, when Dogecoin famously shocked the financial world with an almost meteoric rise, preceded by mainstream hype, community power, and further endorsement from famous people.

The spotlight has been on whether DOGE is set to go into a third cycle, which is thought by some analysts to have started in 2022. The present indications, quite like the past, are reflecting some stark similarities: intense phases of corrections, followed by strong rebounds, coupled with gradual accumulation.

Should this pattern carry onward, then DOGE could well be setting up to repeat its history, thereby awaiting yet another rally that will take it “to the moon”. From here, it is time uncertain, but from seeing the alignments of technical patterns with historical undertones, enough to make analysts and investors pay attention.

What’s Next for DOGE?

According to CryptoMoonPress’ extensive chart analysis, Dogecoin is currently in a rising wedge, a bearish setup as far as traditional technical analysis goes. Rising wedge patterns generally suggest a possible reversal because they point toward slowing momentum even if the price trends up. In such instances, sellers usually win out if buyers cannot retain strength, also pushing the asset down in price.

For Dogecoin, such a bearish outcome would imply breaking below the crucial $0.203 support, with an extended downside pulling the asset all the way down to $0.149. This kind of crash would be a nightmare for any short-term trader hoping for a quick profit, and would put a dent in the entire contracted storyline of DOGE’s soon-to-be-third cycle.

History, they say, advises the Dogecoin holders against ever writing off a probability of the coin acting contrary to expectations. If DOGE also manages not to take the wedge’s usual bearish path, unlikely as that may be, it may be charting a course completely different from one expected on the basis of its past cyclical performances.

In a more bullish scenario, Dogecoin must now break above seasonal supply at the $0.29 resistance. A bullish breakout above the $0.29 resistance would capitalize on momentum gains, ushering Dogecoin into a local trading range of $0.29 and $0.40 in the near term. Consolidation would uplift DOGE’s technical outlook and provide a platform on which to target higher prices that may be recorded simultaneously with the magnitude of rally profiled in the earlier cycles.

DOGE price chart
Source: TradingView

Whether this rising wedge pattern unravels in its bearish form or gives way to DOGE’s age-old bullish cycles shall seal the fate of the crypto in coming days being corrected or being uplifted by one more rally that shall be etched into history.

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Dipayan MitraDipayan Mitra
Dipayan Mitra is a dedicated Editor and Journalist in the Web3 and cryptocurrency domain with over five years of experience in the media industry. A journalism graduate, Dipayan has developed a keen interest in staying up-to-date with the latest developments in the crypto space, allowing him to offer fresh insights and expert analysis on emerging trends. Specializing in technical analysis and market trends, Dipayan is known for his ability to break down complex cryptocurrency topics and deliver them in an accessible and engaging manner. Dipayan’s work has been featured on crypto platforms such as AMBCrypto and CoinGape, where he contributes regularly with high-quality, timely content.