The Dogecoin price action in the past 48 hours has been highlighted by a consolidation below the $0.45 price level. Interestingly, technical analysis shows that this consolidation is part of a bullish pennant that has been in formation since early November. Particularly, Dogecoin is currently in the flag phase of the bullish pennant formation, which is known to be the consoldation phase before the next leg up.

According to Crypto analyst KrissPax, this Dogecoin price movement is creating a “great springboard for the next big Doge pump.”

Dogecoin’s Sideways Trading Forms The Foundation For Growth

The Dogecoin price has been trading within range since it reached the $0.47 mark on November 23. This range has been highlighted by a key support level around $0.37 that prevented further declines on November 26. Crypto analyst KrissPax noted that this consolidation has held above support, which he interprets as constructive rather than negative.

Related Reading

In terms of a Dogecoin price outlook, KrissPax highlighted that the consolidation has led to the formation of a bullish pennant, which is set to be broken at the upper trendline. For his price prediction, he highlighted the $1.3 level as the prime target after the breakout. 

The bullish pennant typically forms after a strong upward rally followed by consolidation, with price movements resembling a triangle. A breakout from this pattern often signals the continuation of the prior trend, making $1.30 a plausible target if the pattern holds true.

The current Dogecoin sideways trading is holding support and making for a great springboard for the next big Doge pump. This bullish pennant targets a big move up to $1.30!

Chart: Trader Tardigrade pic.twitter.com/cho062TLNU

— KrissPax (@krisspax) December 3, 2024

What Could Drive The Dogecoin Price To $1.3?

At the time of writing, Dogecoin is trading at $0.419, according to CoinMarketCap, reflecting an impressive surge of about 178% over the past 30 days. Should Dogecoin manage to sustain its upward trajectory and achieve a breakout toward the $1.30 target, it would represent an additional 210% increase from its current price, as well as a decisive move beyond its all-time high of $0.7316.

Related Reading

However, the path to $1.30 depends on other market factors that extend beyond the bullish pennant pattern currently forming in Dogecoin’s price chart. Nonetheless, current market factors suggest that the meme coin’s price is still in a good position to keep growing. A key contributor to this outlook is the recent surge in activity on the Dogecoin blockchain, particularly among large holders. 

According to data from blockchain analytics firm Santiment, there has been a significant whale accumulation over the past several days. According to Santiment’s data, Dogecoin whales collectively acquired an additional 160 million $DOGE tokens within just 48 hours. This increase in demand could help sustain Dogecoin’s price rally and support its bid to surpass previous highs.

Featured image created with Dall.E, chart from Tradingview.com

A widely followed analyst is leaning bullish on layer-1 blockchain Avalanche (AVAX) while offering his forecast for the flagship memecoin Dogecoin (DOGE) and interoperable chain Polkadot (DOT).

The analyst pseudonymously known as Rekt Capital tells his 518,000 followers on the social media platform X that Avalanche witnessed a strong November.

“Avalanche performed a historically bullish monthly close above the light blue level of $38.57.

Any dips [below $38.57] in the future would be a retest attempt, in a very similar fashion to the retests from Sept 2021 and March 2024 (green/orange circles).”

Based on the trader’s chart, he seems to suggest that AVAX tends to rally after retesting $38.57 as support.

Avalanche is trading at $51.14 at time of writing, up over 12% in the past day.

Next up is Polkadot. The widely followed analyst says the 17th-largest crypto asset by market cap also recorded a “bullish monthly close” to reach a level last witnessed in April.

“DOT is also showing very early signs of retesting this level [at around $8.61] into new support.

DOT needs to continue doing this to enable further upside.

Price stability at $8.61 = crucial.”

Polkadot is trading at $10.24 at time of writing, up nearly 7% in the last 24 hours.

As for Dogecoin, Rekt Capital notes the flagship memecoin has broken out from the upper boundary of an ascending triangle pattern that had formed on the daily time frame. In technical analysis, an ascending triangle breakout is considered bullish.

“Any dips into the top of the pattern [at around the $0.43 level], if needed, would constitute a post-breakout retest to confirm the breakout.”

Dogecoin is trading at $0.421.

Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox

Check Price Action

Follow us on X, Facebook and Telegram

Surf The Daily Hodl Mix

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney

After staging a massive rally, the Dogecoin price is currently in a consolidation phase. And this is also reflected in the technical indicators. Crypto analyst Kevin (@Kev_Capital_TA) is warning of a potential sell indicator. In his latest update on X, Kevin shared a weekly DOGE/USDT chart and outlined technical signs that traders should monitor closely.

Dogecoin Price Analysis

Kevin highlighted that Dogecoin is “printing a sell signal on the weekly time frame with the red dot appearing,” cautioning that this signal requires confirmation over the next week to solidify its validity. He identified a convergence of three strong technical indicators, including a declining Moving Average Convergence Divergence (MACD) and a Stochastic Relative Strength Index (Stoch RSI) that has “topped out waiting for a bear cross.”

These indicators collectively suggest that a potential downside may be imminent. However, Kevin balanced this with the observation that “price action still looks bullish and money flow is also bullish,” indicating that these factors currently outweigh the bearish signals.

Despite the long-term sell signals, Kevin remains open to the possibility of continued bullish momentum in the short term. He noted that Dogecoin has “close[d] its highest monthly candle body close of all time,” marking a significant milestone while acknowledging that “downside is still a risk.”

Related Reading

Looking ahead, Kevin pointed to the importance of a key resistance level, stating, “Until we break $0.60 cents cleanly then there’s nothing to really be excited about,” in reference to his weekly chart that includes Fibonacci price levels extending to $1.

Moreover, Kevin is closely looking at macroeconomic factors that could influence Dogecoin’s performance. He indicated that an “altcoin season” could serve as a catalyst for DOGE’s continued strength, contingent upon Bitcoin’s dominance falling below the 55% level. “If BTC Dominance breaks the 55% level cleanly you will get your #ALTSEASON folks,” he explained.

Additionally, Kevin shared his strategy regarding long-term moving averages, stating, “When these two long term moving averages cross on Dogecoin I will be selling a large piece of my bag. They have called the top successfully on DOGE multiple times. They are moving up fast!”

Related Reading

Notably, the crypto analyst is referring to the Pi Cycle Top Indicator for Dogecoin, a tool traditionally used for Bitcoin (BTC). This indicator relies on the crossing of two moving averages—the 111-day and the 350-day multiplied by two—to signal potential market peaks.

Last week, Kevin revealed, “One of my secret indicators for Dogecoin that is traditionally only supposed to work for BTC is the Pi Cycle tops indicator. It has accurately called every DOGE cycle top and bottom over each of its cycles. When the two moving averages cross along with Monthly RSI being at a certain level that’s when I plan on taking significant portions out of the market.”

At press time, DOGE traded at $0.41.

Featured image created with DALL.E, chart from TradingView.com