Crypto analyst Ali Martinez believes Dogecoin is on the brink of a significant price rally, potentially rivaling its last major surge in December 2021. With the current indicators pointing toward a breakout, Martinez suggests that the popular meme coin could rise by as much as 200% in the coming weeks.
Martinez highlights that Dogecoin has recently broken free from a multi-year downward trend, a movement that historically precedes substantial price increases. He points out that following similar breakouts, Dogecoin has experienced price surges of around 200%.
The analyst predicts that if the momentum continues, Dogecoin could surpass the $0.2236 mark—a level not seen since late 2021.In late September, Dogecoin experienced a breakout that resulted in a 25% price increase. However, the token struggled to maintain this rally and fell back to around $0.11 shortly afterward.
Other analysts echo Martinez's forecast, suggesting that if Dogecoin can hold above the $0.1120 level, it is likely to easily breach the $0.1315 mark this month. Despite these optimistic projections, experts urge caution, noting that previous breakouts have often been followed by a 60% retracement before a sustainable upward trend begins.
One of the main drivers behind the anticipated price rally is the increase in Dogecoin's active addresses. Martinez reports that active DOGE addresses have reached their highest level in eight months, climbing to 133,880. This surge indicates a renewed interest in the coin, with a notable influx of new users contributing to its potential growth.
The rise in active traders suggests a growing community around Dogecoin, which could further fuel its price momentum.
As the cryptocurrency landscape evolves, all eyes will be on Dogecoin as traders monitor its performance in the weeks ahead. With a potential breakout on the horizon, investors remain hopeful for a substantial price rally reminiscent of past successes.
October 2024, Cryptoniteuae