Anika Begay
Cryptocurrency Analyst Altcoin Sherpa provided a bullish narrative for the leading meme coin, Dogecoin (DOGE)Based on his analysis, DOGE is well poised for a bullish reversal and may soon enjoy a parabolic rally.
Why DOGE might increase its current price
Altcoin Sherpa mentioned in an X (ex Twitter) send that Dogecoin has “fairly bottomed out,” meaning the meme coin could surge to new highs soon enough. However, the analyst cautioned that the top meme coin is unlikely to see the moves the market has seen in Bull Run 2021 when the price of DOGE increased by more than 20,000%.
Altcoin Sherpa added that Dogecoin should still be able to see some price gains. He noted that the meme coin has strong liquidity and suggested that investors should still consider investing in DOGE. Altcoin Sherpa had mentioned previously that Dogecoin was a perfect investment for “big whales” as they could easily invest in large amounts while still making considerable profits.
Interestingly, Altcoin Sherpa once had described investors betting on Dogecoin rising to $0.4 as one of the safest bets anyone can make in this market cycle. A rise to $0.4 per DOGE represents a roughly 3x price gain, which Altcoin Sherpa reiterated in his recent analysis as very possible.
Regarding his ultra-bullish forecast for Dogecoin, the analyst mentioned previously that the meme coin could eventually rise to $1 in this market cycle. Altcoin Sherpa has hinted at the world’s richest man, Elon Musk’s passion for the coin meme and how Musk managed to take DOGE to such heights.
While cryptocurrency analysts like Altcoin Sherpa have suggested that $1 is the highest Dogecoin can go in this market cycle, others like Javon Marks have offered more ambitious price predictions. Marks has expected that Dogecoin could rise to $17 and explained that the meme coin could reach such heights because it has always had a higher growth in each subsequent bull phase.
Dogecoin Must Break Above $0.14
Dogecoin has returned above the psychological support level of $0.10. However, cryptocurrency analyst Kevin Capital (formerly OG Yomi) has suggested that the meme coin needs to break above $0.14 before its price action can be considered bullish again. The analyst had previously stated that Dogecoin was still in a downtrend and had “a lot of work” to do before it could turn bullish again.
However, some technical indicators show that Dogecoin is on its way to becoming bullish. Kevin said that the leading meme coin had formed a “massive bullish divergence“in the span of 3 days while sitting at 3 days 200-day moving averageHe said it was a “very important event” and something to keep a close eye on.
At the time of writing, Dogecoin is trading at around $0.10, up more than 4% in the last 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
