After weeks of new highs and lows, Dogecoin appears to be weakening, its bearish movements suggesting a possible uptick. According to market analysts, DOGE has formed a bullish divergence pattern hinting at a potential 150% surge.
Key bullish divergence in Dogecoin’s price action
A bearish divergence happens when an asset price makes a lower low while the technical indicators, like the RSI, make higher lows. Some people consider this as indicating that the current bear is showing signs of weakening; a bear market might actually be reversing soon.
According to analysis prepared by Javon Marks, the DOGE price has been consolidating within this pattern, with lower highs and a horizontal support level.
In the same turn, the RSI index has formed a divergence pattern, an indication that a gain could be achieved. We can observe that the price could burst out of the apex as a signal of an impending bullish breakout if this formation is fully developed.
In Dogecoin’s case, this divergence is especially noteworthy. It suggests that the downward pressure from sellers may soon diminish, and buyers could take control of the market. This shift in market dynamics may set the stage for a strong rally.
Potential for a 150% price increase
Based on the current data, analysts believe that Dogecoin could experience a substantial price increase, possibly exceeding 150%. If this bullish momentum continues, the price could rise back to the $0.40 range.
The current market data shows that bearish sentiment around Dogecoin is weakening. With the signs of bullish divergence becoming more pronounced, there is an increasing sense of optimism in the market. Such a move would mark a significant recovery for Dogecoin, following a period of market consolidation and bearish sentiment.
Tracking the current market trend, CoinMarketCap data indicates that Dogecoin is currently priced at $0.1572, reflecting a 1.19% decrease over the past 24 hours. The market cap stands at $23.39 billion, with a trading volume of $500.61 million, showing a 25.83% decrease.
The volume-to-market cap ratio is 2.12%. The circulating supply of DOGE is 148.9 billion. During the day, it has had volatility and has gone to as low as $0.1560 before rising to the current rate. This is an overall picture of how the market is behaving and the activities of trading in a moderate zone.
