Dogecoin (DOGE), the world’s largest meme cryptocurrency, has been rangebound for the past two months, trading between the support of $0.077 and resistance of $0.090.
This lackluster movement comes even as other major cryptocurrencies, such as Bitcoin, Ether, Solana, and BNB, have surged significantly. However, despite the sideways price action and apparent weakness, experts predict that DOGE could be preparing for a parabolic surge.
Earlier on Monday, renowned crypto analyst Ali Martinez highlighted on X the resemblance between the current price action of DOGE and patterns seen in its previous bull markets, suggesting that if historical trends repeat themselves, we could witness DOGE initiate a parabolic breakout around April.
Martinez’s prediction is based on historical trends where such squeezes precede extremely bullish moves. Late last week, the analyst highlighted similarities between Dogecoin’s current behaviour and its actions in 2020. In that instance, DOGE broke out from a descending triangle, underwent a period of consolidation, and eventually soared by an impressive 28,770%.
“Currently, DOGE appears to be mirroring this pattern: having broken out of a descending triangle, it’s now in a consolidation phase, potentially setting the stage for another significant bull run,” he had stated.
Other analysts also shared this bullish outlook. For instance, Analyst Jon suggested that DOGE is simply following market trends, anticipating a break of the $0.09 level. Notably, the pundit noted he anticipates the price to break that initial resistance, followed by a significant “green candle” potentially reaching $0.10 before heading to $0.13.
On the other hand, in a YouTube video on Monday, analyst “VisionPulsed” discussed the potential for the price to reach $2, noting that DOGE has not yet experienced a significant pullback. He further suggested that DOGE’s price action could mirror historical trends, with a potential top around December 2023 influenced by Bitcoin breaking its all-time high.
“Once Bitcoin breaks the all-time high in my opinion, we really should see Doge take off” he stated. “Bitcoin may be breaking the old-time high a lot earlier than a lot of people are looking for it…could be May or June. as long as there’s no pullback for Bitcoin, there won’t be a pullback for Dogecoin, and if there’s no pullback for Dogecoin, that means we’re on the tail end of this.”
That said, the anticipation of a parabolic surge in April has created a quiet consolidation phase for DOGE, with many analysts and investors referring to it as a ‘silent storm’ for the meme cryptocurrency. As the market awaits a breakout, the coming weeks will be crucial for DOGE’s price action.
At press time, DOGE was trading at $0.087 after a 1.25% surge in the past 24 hours, as per CoinMarketCap data.