Although it has been consolidating around the $0.24 area for months now, new technical analysis suggests that Dogecoin price could be gearing up for another explosive move this cycle. A cryptocurrency analyst has identified a recurring bottom-rounding trend in DOGE’s historical price chart, suggesting a familiar pattern that often precedes massive rallies. The analyst argues that a combination of technical structure and macroeconomic conditions could send Dogecoin flying again.
Macro Correlations Suggest Dogecoin Price Rise Ahead
In an in-depth analysis shared on social media His study compares the meme coin’s price behavior to the iShares Russell 2000 ETF (IWM) and other altcoins collectively labeled “ALTS (OTHERS),” illustrating how macroeconomic cycles influence crypto risk assets.
The chart shows how altcoins and IWM help depict how Dogecoin price historically lags broader market movements during the early “risk-on” phases before entering its explosive bull phase. Osemka pointed out that once IWM breaks out, altcoins usually start to recover, but DOGE remains inactive for a short period of time. However, real price acceleration tends to occur only after the altcoin index surpasses its previous all-time high.
The cyclical lag effect of the rounded bottom series positions Dogecoin price as a late mover that benefits from the fallout momentum of IWM and “OTHERS”. The models mark long phases of consolidation of the accumulation before the start of the parabolic rise projected by the analyst. More importantly, the current market appears to be aligning with these same pre-rally conditions, signaling that the meme coin is preparing to “fly,” but only when the macro environment shifts into “risk mode.”
Expert envisions Dogecoin’s next price breakthrough
In a separate analysis, “Zero,” another crypto market expert on X reinforced Dogecoin’s bullish thesis by pointing out that a price discovery is imminent. Its long-term chart, dating back to 2014, depicts three major cycles of accumulation and expansion, each undergoing its own level of lateral action before a dramatic surge.
The chart highlights previous explosive phases of 218x and 548x during past bull markets, with a predicted move of 50x, suggesting that Dogecoin is once again nearing the end of a consolidation phase and preparing for a major breakout. The green shaded area on Zero’s chart represents historical accumulation zones – the quiet periods of consolidation that often precede large price increases.
