Bullish sentiment has slightly dropped in the general crypto market, affecting major digital assets like Dogecoin, which fell to the $0.168 level as Wednesday drew to a close. DOGE may be struggling to sustain its recent upward trend, but indicators suggest that an upside movement is more likely than a downside movement.
An End In Dogecoin’s Pullback Phase
Given the current price action, Dogecoin appears to have weathered its correction. Seasoned technical analyst and investor Trader Tardigrade has predicted a potential continuation of the renewed bullish performance, triggered by a broader positive market performance.
In the analysis shared on X, Trader Tardigrade highlighted that the dog-themed meme coin may be done with its pullback for this cycle. This implies that Dogecoin has established a solid base above important support levels, suggesting that its strength may be restored underneath the surface despite signs that the ongoing uptrend is losing steam.
A view of the chart shows that the meme coin has persistently found support at previous swing highs. Furthermore, it recently bounced back from a key support zone to reach a high from a prior upswing, indicating its resilience within current market conditions.
Considering this movement on the 3-day chart, Trader Tardigrade is confident that the meme coin may have finished its pullback. As a result, he foresees another sharp rally in the near term, which will push DOGE to a new all-time high in 2025.
Dogecoin continues to demonstrate potential for a rally as Trader Tardigrade noted that the asset has entered a recovery phase, signaling a shift in price dynamics. Such a move would end its correction or consolidation phase, setting the stage for an upsurge.
Looking at the chart, the last time DOGE entered a recovery phase, it resulted in a notable upward move in the shape of a Rising Wedge formation. However, after a period of uptrends, DOGE transitioned into a consolidation phase, forming a Parallel Channel pattern.
A similar pattern is currently unfolding on the 4-hour chart, hinting at an impending rally. Should past trends repeat, the meme coin is expected to rally in the upcoming days, reclaiming the $0.225 level.
A DOGE Textbook Accumulation Cylinder Pattern
As DOGE builds momentum, Crypto Bullet, a technical analyst, has shared an analysis that entails DOGE’s potential future in the ongoing cycle. Following his examination of the 3-day chart, the analyst revealed that Dogecoin had formed a Textbook Accumulation Cylinder pattern.
Based on the shape of the textbook accumulation cylinder pattern, the meme coin could be poised for a massive pump in the next few months. The pattern hints at a surge to a market top for DOGE above $3.2. After that, a decline to $1.2 will occur before rebounding to $2 again. Finally, DOGE’s price is likely to enter a bearish market phase, pulling prices back to $0.17 by the end of 2026.
Although Crypto Bullet is unsure of what would trigger this move, he believes that “something interesting is coming.” However, an ideal formula for a pump could emerge with the addition of BTC’s dominance topping out.
Featured image from Getty Images, chart from Tradingview.com
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