A technical formation on the Dogecoin to Bitcoin trading pair has resurfaced, reflecting a chart structure last seen during Dogecoin’s explosive rally in the previous cycle. Market analysts observed that the same pattern that once preceded a 30,000% increase in DOGE’s price has developed again.
The development comes as Bitcoin shows strong momentum, causing a noticeable drop in the DOGE/BTC ratio. This sequence mirrors historical movement from the 2020-2021 market cycle, where a similar drop in the ratio occurred before Dogecoin initiated a prolonged upward trend.
DOGE/BTC trend shifts as pattern aligns with multi-phase market
Trader Tardigrade observed that the recent hike in Bitcoin’s price has left a mark on the DOGE/BTC trading pair. When Bitcoin’s strength grew, Dogecoin was outperformed, thereby pushing down the ratio.
This drop is a key element of the recurring pattern, previously marking the beginning of DOGE’s extended breakout phase. In the earlier cycle, this phase was followed by Bitcoin consolidating its gains. During that consolidation period, DOGE began its accelerated movement to new highs.
Detailed inspection of the chart shows a three-phase sequence. In the first stage, a Bitcoin rally brings about a brief weakness in DOGE/BTC. Second, Bitcoin moves sideways and shows little price movement for several sessions. Third, there is a quick reduction in DOGE/BTC, as Dogecoin starts an upward movement lasting several weeks.
In past cycles, this final phase delivered substantial gains for Dogecoin as traders rotated capital into high-volatility assets. Although past behavior does not confirm future performance, the recurrence of the structure has drawn notable attention from technical market observers.
Dogecoin and Bitcoin’s current price movement
Tracking the current market trend of both Bitcoin and Dogecoin, a comparative price trend indicates that Dogecoin was priced at $0.2335 registering a 0.95% daily increase. Its 24-hour trading volume reached $4.24 billion, marking a 6.46% rise. The DOGE/BTC chart shows Bitcoin declining by 1.44% to $102,682.72 during the same period.
DOGE gained as high as 8% intraday before pulling back. Meanwhile, Bitcoin remained relatively stable before falling into negative territory. DOGE’s upward trend showed significant volatility, with several sharp price movements throughout the day. Volume remained steady during peak trading hours, reflecting continued market engagement.
Should Bitcoin consolidate, it could allow the last part of the pattern to unfold. How Dogecoin responds to upward pressure during these times might set its course in the near term within the current market cycle.
