Dogecoin (DOGE) Price Could Soar 90% After Elon Musk’s “D.O.G.E” Tweet
beincrypto.com 22 August 2024 12:24, UTC Dogecoin’s (DOGE) price raises expectations as it prepares to break out of a bullish descending wedge pattern.
Support from the market and the investors is also visible, albeit minimal, and will aid DOGE’s recovery.
Dogecoin Pushes Its Limit
Dogecoin’s price is currently on the verge of flipping a crucial resistance into support, which would confirm a breakout. One of the biggest catalysts of this rise could be the recent tweet from Elon Musk. The DOGEfather said that he was willing to serve “the Department of Government Efficiency, i.e., D.O.G.E.
This is expected to result in a surge in DOGE’s value. The moving average convergence divergence (MACD) further supports this potential bullish momentum.
The indicator shows a rise in overall bullish momentum. This suggests that market sentiment is starting to shift towards the upside, indicating potential for a recovery in Dogecoin’s price.
Read More: Dogecoin (DOGE) vs Shiba Inu (SHIB): What’s the Difference?
However, despite this positive technical signal, other factors could dampen the pace of this recovery. One key concern is the behavior of large-scale investors, commonly known as whales.
Currently, whales are only noting a minimal increase in their holdings. In the last two weeks, the wallets holding between $100,000 and $10 million DOGE have seen only $300 million inflows. This lack of significant accumulation from these major players indicates a cautious approach, reflecting uncertainty or hesitation in the market.
The reluctance of whales to increase positions could ultimately slow the recovery process. Without strong participation from these large investors, the bullish momentum indicated by the MACD may not fully translate into a sustained upward movement in Dogecoin’s price.
DOGE Price Prediction: Bullish Push Next?
Dogecoin’s price is nearing a breakout from the bullish descending wedge pattern, which is trading at $0.1059. The pattern suggests a 90% rise is ahead of the meme coin, which places the target at $0.20.
The aforementioned factors suggest that this rally could take some time since the breakout has not been confirmed yet. This would happen once $0.1168 is flipped into support to enable a rise to $0.1286.
Read More: Dogecoin (DOGE) Price Prediction 2024/2025/2030
Nevertheless, there is a chance this breakout could fail as it did back in mid-July. This could lead to Dogecoin’s price falling to $0.10 or lower, invalidating the bullish thesis and failing the pattern as well.
