This significant accumulation occurred against the backdrop of a decline in the price of DOGE, indicating that large investors took advantage of the price drop. Such whale activity often precedes price recoveries, reflecting strong confidence in the token's future growth.
DOGE Price Prediction
Regarding the future price dynamics of Dogecoin, Finbold has published several scenarios:
- Bullish: If the accumulation of DOGE is substantial, market sentiment may improve. In this case, the price could reach the range of $0.40-$0.45 within a few weeks.
- Neutral: In the event of minimal movements amid mixed signals (balanced supply and demand), the token may trade in the range of $0.28-$0.32.
- Bearish: If profit-taking continues, especially from whales, along with increasing negative market sentiment, DOGE could drop to $0.27.
Dogecoin Technical Analysis
According to anonymous crypto analyst CryptoBullet in his note on X from January 4, Dogecoin potentially has a path to reach $1.
Analysis shows that Dogecoin recently retested the lower boundary of a well-defined ascending channel. This test was accompanied by a bounce off the support line, indicating possible bullish momentum.
The current price level of approximately $0.38 is crucial, as Dogecoin remains within the ascending channel that has supported its trend since 2021. The lower boundary of the channel around $0.26 served as a support level during the last test, while the upper boundary around $0.54 is an important resistance level. According to the analyst, should the price continue to rise within this channel, Dogecoin could pave the way to $1.
Another analysis from Martinez notes the potential for Dogecoin to grow by 1,000% if historical bullish cycles repeat. In the past, during the rallies of 2017 and 2021, Dogecoin rose by 1,000% within 27-42 days.
This sequence suggests the possibility of similar growth in the current market.