Dogecoin (DOGE), the meme-based cryptocurrency that began as a joke in 2023, has been actively capturing attention in the crypto space; it witnessed over 300% surge this year.
Thanks to a U.S. election that has given the crypto market the push it needed, analysts predicted that DOGE could possibly hit $1 before the end of the year. However, critics argue that its price won’t climb higher due to concerns like a drop in “market cap” and the common “buy the rumor, sell the news” trend.
To simplify, people don’t believe Dogecoin can grow much higher because its market cap is already high compared to other coins. The higher the market cap, the more money is needed to push the price even higher. Meanwhile, traders who quickly took advantage of the surge seem to be only in for short-term gains.
At the time this report is written, DOGE is 4% up in the last 24 hours to $0.37. However, the crypto has seen drops in its trading activities since the election, dropping from 192% at $17 billion recorded on Nov. 11 to a negative 12% at $7 billion.
This is quite disappointing considering the fact that the crypto is endorsed by Tesla founder and billionaire Elon Musk who has been bullish on the token together with his effort in the Donald trump campaign leading to his presidential win
However, crypto analyst @ali_charts sees things differently. According to Ali, Dogecoin’s popularity hasn’t yet hit its peak. Ali used chart analysis to back up his forecast, saying that public interest in $DOGE still has room to grow, meaning the cryptocurrency could see more momentum in the future.
“when you look at the interest in $DOGE over time, it isn’t even at peak popularity yet. Long story short, #DOGE has waaay more room to grow. #HODL” he said
“Bull Pennant” Pattern Formed on Chart
Adding to Ali’s bullish foresight, another crypto analyst, Trader Tardigrade on X recently posted a tweet showing a “Bull Pennent” pattern on DOGE’s monthly chart. This pattern is a bullish pattern that signals an upcoming bullish trend.
According to Tardigrade, the same pattern appeared earlier this month when Dogecoin jumped from $0.1677 to $0.4389, which at the time was a massive 139% increase. After that, the token pulled back slightly and stabilized, forming the flag portion of the pennant.
Now, Dogecoin seems to be forming a second bull pennant. Tradigrade predicts that if this pattern is completed, the price could shoot up to $0.90, another potential 139% gain.
Another thing to look at is recent whale activities. According to Ali’s tweet on Nov 15. Large dogecoin whales bought 160 million DOGE which at the time was $56 million. In short, while many see the recent surge as an opportunity to sell off, large investors see it as a chance to join to trend.
As it seems, Dogecoin’s growth is still under a lot of speculation. Whether it follows the skeptics’ warnings or validates the bulls’ optimism, one thing is clear: $DOGE continues to be a center of attention in the ever-evolving crypto space.
Also Read : Dogecoin Surges 89% After Trump’s D.O.G.E. Announcement
