Emily Walker
Recent trends indicate a significant upward potential for Dogecoin in the coming days, paralleling the overall strengthening of the cryptocurrency market. However, several indicators suggest that the anticipated rise of this dog-themed meme coin may closely follow Bitcoin’s price fluctuations.
Could Bitcoin’s Price Movements Propel Dogecoin Higher?
As Bitcoin remains a key player in the crypto arena, its price changes might influence wider market behaviors. Expert trader Kevin has noted that Dogecoin’s potential for a bullish breakout largely hinges on Bitcoin’s upcoming price movements.
Currently, DOGE is stabilizing near crucial price levels, and any strong movement from Bitcoin could enhance Dogecoin’s upward trajectory, potentially leading to a significant price increase. With the market seeing a rise in investments, DOGE could gain the momentum needed to reach key resistance points, particularly aiming for the $0.40 threshold.
Examining Dogecoin’s recent performance, Kevin pointed out a fierce struggle near the macro 0.5 Fibonacci extension. While this extension signifies a major resistance area, he emphasized that overcoming it could provide access to the macro golden pocket.
Furthermore, Kevin believes that DOGE’s chances in this scenario will depend on Bitcoin successfully exiting its macro golden pocket. This development could ignite the much-anticipated climb for Dogecoin, potentially leading to a new record high.
It is essential to note that Dogecoin’s macro golden pocket is located around the $0.49 level. Kevin asserts that this level serves as a vital resistance point that must be surpassed for DOGE to advance toward a new high.
The $0.49 mark represents a significant resistance zone identified by Kevin that DOGE needs to breach for a bullish movement. After overcoming this point, he highlights that the subsequent resistance lies at $0.53, which corresponds to a critical Fibonacci extension of 0.703.
Post a breakout above the $0.53 level, Kevin identifies another crucial resistance at $0.59, which he dubs the “final boss,” marked by another essential Fibonacci extension level at 0.786. If Dogecoin manages to break past $0.59, he is optimistic that the next surge could take the meme coin to new all-time highs.
Emerging Chart Patterns for DOGE
Following a strong uptick earlier this week, DOGE has seen significant declines, particularly in the last day. While this dip poses a risk to Dogecoin’s upward trend, it may be temporary as a bullish pattern is forming on the daily chart.
On examining the daily chart, Trader Tardigrade, another crypto expert, has highlighted the emergence of a Cup with Handle formation, a technical pattern often associated with imminent price increases. If this pattern completes and DOGE breaks out positively, it could set off a wave of bullish momentum for the meme coin, propelling it to higher price levels.