Dogecoin Set for a Surge? DOGE’s 46% Drop Mirrors 2021 Rise
- Dogecoin’s 46% correction aligns with a key pattern seen before its 2021 price explosion.
- In 2021, the Dogecoin surged after a 56% drop, showing a trend worth watching.
- With DOGE at $0.376, signs point to a possible rally driven by longstanding momentum.
If its historical pattern is anything to go by, Dogecoin (DOGE) may soon be gearing up for another explosive price movement. According to Ali, a crypto analyst, the previous bull cycle offers an insightful template for what could happen next. Back in January 2021, DOGE staged a massive rally following a 56% recovery that started during the week of January 25, 2021.
Source: XIn January 2025, the meme coin is in a similar position, having undergone a 46% valuation pullback over the past few weeks. Could history repeat itself? If so, the next upward leg might kick off as early as next week.
A Déjà Vu Moment: The 2021 Bull Cycle Comparison
The analogy is striking. In 2021, DOGE decreased by 56.91% within a short span, and this cycle acted as a springboard for its epic rise and cemented its crypto market position. Fast forward to 2025, and the token’s latest correction sees a decline of 45.83%. While the scale of correction is slightly less severe, the structural similarity in movement suggests a theoretical rupture is on the verge.
Consolidation Zones Hint at Possible Upside
Ali’s technical chart also reveals DOGE’s historical consolidation zones and recovery patterns. In the present scenario, Dogecoin is gearing around $0.37600 after the recent pullback. This level has acted as a pivot in the past, where bearish exhaustion transitioned into fresh bullish momentum. If the trend mirrors 2021’s trajectory, DOGE could surge past the $0.50 mark and beyond in the weeks ahead, offering significant upside potential for traders and investors.
Related: https://cryptotale.org/xrp-reaches-3-targets-new-all-time-highs-around-4-or-5/
Caution Amid Optimism: Factors to Watch
However, this setup is not without risks. Cryptocurrencies are notoriously volatile, and external market factors such as macroeconomic conditions or unexpected regulatory developments could disrupt the pattern.
Nevertheless, the historical data outlined by the analyst presents a compelling case for optimistic speculation. As crypto enthusiasts eagerly watch DOGE’s next move, seasoned traders may want to prepare for another wild ride on the Dogecoin rocket.
The post Dogecoin Set for a Surge? DOGE’s 46% Drop Mirrors 2021 Rise appeared first on Cryptotale.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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