Meme cryptocurrency Dogecoin is presently trading at a crucial support point against Bitcoin, a point that previously activated its monumental bull run in 2021. This noteworthy insight comes from crypto analyst MasterAnanda, whose recent technical assessment on the TradingView platform emphasizes the possibility of another substantial Dogecoin surge based on its behavior against Bitcoin on the weekly candlestick timeframe.
Dogecoin Revisits Bull Market Support Area Against Bitcoin
According to MasterAnanda, Dogecoin has re-entered what is recognized as its most robust historical support range when assessed against Bitcoin on the weekly chart. Specifically, this area, illustrated in blue on the weekly chart below, served as resistance in early 2021 before the Dogecoin price skyrocketed to new heights and surpassed Bitcoin during the fifth wave of its bull run. Following the conclusion of that 2021 rally, the prior resistance evolved into support and has maintained its strength across numerous retests since then.
The support region was initially scrutinized in June 2022, followed by multiple confirmations in late 2023, early 2024, and again toward the close of 2024 as Bitcoin continued to excel against the rest of the cryptocurrency market and expanded its dominance. Nevertheless, Dogecoin rebounded at this blue zone each time it was reassessed, demonstrating its validity as a critical accumulation zone and offering a solid basis for any rally.
At present, Dogecoin’s price activity against Bitcoin is displaying a higher low formation in the blue zone compared to previous years, indicating a bullish structural advancement. MasterAnanda expresses complete assurance in this support zone, standing firm and designating the current price level as “the optimal entry range achievable” for the remainder of the year.
What Could Happen Next For DOGE?
If Dogecoin replicates its former bull cycle tendencies, the ongoing consolidation and accumulation stage could serve as a springboard for a significant upward trajectory. Therefore, DOGE might bounce above the blue support zone and surpass Bitcoin in the coming months. This could be challenging, considering that Bitcoin has gained the most inflows from institutional investors and has been guiding the entire market’s momentum since late 2023. Conversely, Dogecoin is becoming an increasingly favored option among retail traders. All that’s required is a bullish trigger that could lead to a surge in inflows into the meme coin.
The weekly Dogecoin/Bitcoin chart shared by the analyst showcases a clear Fibonacci extension indicating potential new all-time highs should DOGE’s price movement follow this trajectory and bounce upwards from the support area. At this moment, the Dogecoin/Bitcoin pair is trading at 0.00000185. The 2021 all-time high is 630% away at 0.00001350, indicating the meme coin has considerable outperformance to achieve to return to its zenith against Bitcoin.
Currently, DOGE is trading at $0.162, showing a 4.2% increase in the past 24 hours. Bitcoin is priced at $87,390, reflecting a 3.8% rise in the same period.
Featured image from Adobe Stock, chart from Tradingview.com
Editorial Process for bitcoinist revolves around providing thoroughly researched, precise, and impartial material. We uphold stringent sourcing guidelines, and each article undergoes meticulous evaluation by our team of leading technology specialists and practiced editors. This procedure guarantees the integrity, relevance, and significance of our material for our audience.
