- Dogecoin (DOGE) could blow off the roof if the prediction of a popular crypto trader and analyst plays out.
- A new pattern playing out has been mirroring the past two multi-year bull cycles of the cryptocurrency.
- This comes as a silver lining amid the slumping value of the OG meme coin since April.
Dogecoin Loses Past Few Months’ Gains
Dogecoin prices have been meh over the past month. This was despite the anticipated fourth Bitcoin (BTC) halving finally taking place on April 20 and the DOGE Day or D-Day coinciding with it. As of yesterday’s report, the OG meme coin has already wiped out nearly 40% of its value in the one-month frame.
The lackluster activity of the dog-themed coin could be attributed to several events in the crypto space. The primary culprit was the massive sell-offs occurring past the latest Bitcoin halving coupled with economic and socio-political issues plaguing the background.
This chain of events somewhat led several investors and traders to either shake off their risk assets, including cryptos, or stay away from the market. Within the Dogecoin ecosystem, the lack of key announcements affecting its community may have stagnated interest in niche and turned away speculators and investors in the process.
The Silver Lining
Fast-forward to today at 12:00 noon UTC, DOGE appears to have recovered around 6% of its value in the 24-hour chart as it rose to $0.13. Meanwhile, its one-month loss was somehow tamed at 28%. Nevertheless, the cryptocurrency remains over 68% up in the one-year range.
Against the backdrop of this flicker of hope lies renowned crypto trader and analyst Ali Martinez’s charts. According to the popular crypto personality on X, what we are witnessing right now may be indicative of a looming bull run.
“The ongoing Dogecoin price correction is part of its usual behavior before massive bull runs!” he exclaimed on the social media platform. “Let’s dive in.”
Martinez also noted that Dogecoin just broke the descending triangle on the long-term chart in the past couple of hours. Furthermore, the analyst excitedly claimed that the ongoing correction may play out similarly to its last two bull cycles.
Based on historical data, the 40% retracement of DOGE in 2017 led to a 982% rally while the 56% correction in 2021 served as the precursor of a 12,197% gain.
With that, he reminded his legion of followers that patience could be the key to being a part of this interesting development.