Dogecoin ( DOGE ) is experiencing short-term weakness aligning with the broader market trend, but an analyst is projecting a 3,000% rally in the asset’s price. Based on historical price movements during past bull cycles , the analysis suggests that DOGE could target a minimum valuation of about $8, according to pseudonymous analyst Trader Tardigrade in an X post on January 24. Specifically, in prior bull cycles during 2017 and 2021, Dogecoin recorded gains of over 3,000% and 8,000%, respectively, after breaking above the previous candle body highs. DOGE price analysis chart. Source: Trader Tardigrade For instance, after breaking a key resistance , Dogecoin surged 3,284%, taking its price from $0.00001838 to $0.01838 within months. History repeated itself when Dogecoin skyrocketed 8,025% to $0.72995 in 2021, fueled by retail interest and celebrity backing. Currently, Dogecoin’s formation hints at the possibility of another significant rally. If DOGE mirrors its past performance, the expert suggested it could soar to $8.32 and $20.68 in the next cycle. A break above critical resistance, near $0.41, could trigger a parabolic rally, mirroring previous bull runs. Looking at the near-term target, prominent trading analyst Ali Martinez predicted that Dogecoin could soon target $0.39 and possibly $15 , given its bullish multi-year ascending channel. However, breaking the $1 resistance remains crucial for any possibility of Dogecoin recording a sustained rally. Nevertheless, if DOGE hits $8, its market cap would soar to about $1.18 trillion, ranking second to Bitcoin ( BTC ). What next for Dogecoin? On the same note, an analysis by prominent online trading expert Trading Shot highlighted the significance of Dogecoin breaching the $0.40 resistance. In a TradingView p ost on January 25, the expert observed that Dogecoin has been trading within a consistent channel-up pattern since bottoming out on December 20, 2024. DOGE price analysis chart. Source: TradingView/TradingShot A reliable buy signal has emerged each time the price forms a double bottom near the pattern’s higher-low trendline, accompanied by two consecutive bullish crosses on the four-hour Moving Average Convergence Divergence ( MACD ) indicator. This signal has occurred twice previously, resulting in price rallies that reached the 2.618 Fibonacci extension level, creating higher highs within the channel. Currently, the same pattern is repeated for a third time. Given this technical setup, the expert turned bullish on Dogecoin’s short-term potential, setting a target of $0.43250, aligning with the 2.618 Fibonacci extension. For DOGE to embark on a parabolic rally, the cryptocurrency needs significant buying momentum—an aspect that appears plausible given ongoing developments around the coin. For instance, the eighth-ranked cryptocurrency by market cap could potentially attract more institutional capital if a related exchange-traded fund ( ETF ) is launched. In this case, cryptocurrency investment firm Bitwise has reportedly filed to establish a Delaware statutory trust for a Dogecoin ETF. This application is part of broader market optimism for diverse crypto ETFs following the election of President Donald Trump , who has nominated crypto-friendly Paul Atkins as the Securities and Exchange Commission ( SEC ) chair. At the same time, Rex Shares and its affiliate Osprey Funds have filed for seven crypto ETFs, including those tied to Dogecoin, Bonk (BONK), and the official Trump (TRUMP) coin. DOGE price analysis chart By press time, DOGE was trading at $0.35, a drop of over 3% in the last 24 hours. On the weekly chart, the meme coin is down 11%. DOGE seven-day price chart. Source: Finbold At the current price, Dogecoin is slightly below its 50-day simple moving average ( SMA ) of $0.366687, indicating short-term bearish momentum. However, it remains above the 200-day SMA of $0.213973, suggesting a bullish long-term trend. The Relative Strength Index ( RSI ) is neutral at 49.94, reflecting consolidation, while the Fear & Greed Index at 75 signals market greed. This points to potential overexuberance, highlighting the need for investors to remain cautious. Featured image via Shutterstock The post Dogecoin eyes 3,000% spike if this historical pattern plays out appeared first on Finbold .
