For weeks, altcoin investors have had little to smile about. The dip in Bitcoin’s value has severely impacted altcoins, with many hitting new lows for 2023. This is despite Bitcoin’s price being significantly higher than it was at the beginning of January. Among these, where does Dogecoin stand? Hopeful DOGE price predictions bring a glimmer of optimism to investors.
Analyzing Dogecoin’s Chart
At the time of writing, DOGE, the eighth-largest cryptocurrency by market value, is trading above $0.073. Despite the bearish market conditions, it outpaces several popular altcoins like MATIC, SOL, and TRX, maintaining a market value of over $10 billion, thanks to its loyal investor base.
Dogecoin’s (DOGE) price broke out of a long-term descending wedge and subsequently formed a short-term double-bottom formation. Technical analysis on the daily timeframe reveals that DOGE’s price exited a descending wedge on May 16th. This wedge is usually considered a bullish pattern, often leading to breakouts. Consequently, DOGE’s price may rise in the short term.
Dogecoin (DOGE) Price Prediction
In addition to the wedge formation, a double bottom also catches the eye on the chart, possibly signaling an impending uptrend. The candlesticks on the chart indicate active buyers trying to push the price higher. A closer look at the daily timeframe gives a bullish DOGE price prediction. The primary reasons for this are the number of waves and the RSI readings. Elliot wave count points to a completed five-wave downtrend within the wedge.
This suggests a likely continuation of the uptrend in the short term, although a retracement may occur afterwards. So, what will be the target for this price increase? The short-term bullish target is between $0.087 and $0.091. Despite this short-term bullish price prediction, a price falling below the fifth wave level of $0.069 would confirm the bearish trend.
In an environment where the uptrend is shelved, DOGE investors may see a swift pullback towards $0.05. Bitcoin has been trading in the range of $27,600-$27,700 for a while now. The king of cryptocurrencies’ directional decision in the coming hours will also influence DOGE’s price.
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