Analysts Predict Dogecoin Price Will Rise Sharply After Breaking Through the 50-Day Trendline

Dogecoin may be preparing for a significant bullish move as a technical analyst identifies a breakout above the 50-day trend line. After months of price compression, this meme coin now appears poised to end the downtrend, igniting renewed optimism in the cryptocurrency community. Dogecoin is set for a game-changing rally Trader Tardigrade, a cryptocurrency market analyst, announced in a post on X (formerly Twitter) on July 1 that the price of Dogecoin has just surpassed the important 50-day downtrend line on its daily chart. With this new development, the analyst predicts the possibility of a strong bullish trend beginning in the near future. With the potential end of this market downturn in sight, Trader Tardigrade believes that the microstructure of DOGE is now beginning to show early signs of a bullish reversal pattern. In his price chart, the analyst notes that Dogecoin has established a higher low, followed by a higher high after breaking out of the long-term trendline.

Recently, a second higher low has formed, reinforcing the likelihood of a new bullish trend developing. This structure, characterized by consecutive higher highs and higher lows, is often considered the earliest confirmation that buyers may regain control of the market. This breakout is particularly important because it follows an extended period of lower lows and lower highs, with the 50-day trend line acting as a strong resistance barrier throughout. With that resistance now broken and initial signs of a bullish market structure developing, Trader Tardigrade is increasingly optimistic about the short-term outlook for Dogecoin. If the current trend continues, it could signal the start of a sustainable bullish phase for this meme coin. Analysts say that Dogecoin below $0.2 is free. In a separate analysis, market expert Kaleo revealed that the current price of Dogecoin below $0.20 indicates a strong accumulation opportunity, implying that this meme coin is significantly undervalued when compared to its bullish potential. Supporting his view with charts, the analyst predicts that the price of Dogecoin may be on the brink of a major breakout, with bullish targets suggesting an increase up to $1.50 and potentially exceeding $3.50. Kaleo's chart analysis highlights the strong similarities between the current market structure of Dogecoin, following the Bitcoin halving in April 2024 and the 2020 breakout before this meme coin's historic bull run. In 2020, Dogecoin traded sideways in a Falling Wedge pattern for several months before the breakout triggered a parabolic bull run to a new ATH. The current price action shows an almost identical setup, with this meme coin now breaking out of a similar multi-year Falling Wedge, potentially setting the stage for another historic bull run.