Doge (DOGE) Price Could Increase More Than 90% In The Near Future, Here’s Why?
The price of Dogecoin (DOGE) is currently trading within a long-term bullish pattern and has broken out above a short-term bearish pattern. It has the potential to continue rising in the near future.
Recently, it was rumored that DOGE would be added by Elon Musk to Twitter-‘X’ Payments. If this turns out to be true, it could lead to a significant surge in DOGE’s price.
Long-term Pattern
Since November 2022, the price of Dogecoin has been trading within a descending parallel channel. This is a bullish pattern that often leads to breakouts in many cases.
Currently, the price is in the process of breaking out above the middle line of the channel ($0.75). If successful, it could rise to the channel’s resistance line at $0.95.
The weekly RSI (Relative Strength Index) has already broken out above its resistance line and is above 50, supporting the possibility of further upward movement.
Moreover, such breakouts in the RSI often lead to similar breakouts in the price action. Therefore, the price is likely to break out above the channel as the RSI’s resistance line was formed around the same time as the descending parallel channel.
This breakout could propel the price of DOGE to the next resistance level at $0.15, representing an increase of over 90% from the current price.
Short-term Breakout
The daily chart supports the possibility of further upward movement from the weekly timeframe. It shows that the DOGE price has broken out above an ascending parallel channel with a large bullish candle.
As the ascending parallel channel is a bearish pattern, the breakout above it shows that the upward move was impulsive.
Therefore, the price of DOGE is likely to continue rising to the next resistance level at $0.95.
Conclusion
The technical indicators suggest that the price of DOGE will continue to rise in the near future. The nearest target is $0.95, and it could potentially reach as high as $0.15.
Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.
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