Dogecoin (DOGE) is re-enacting a historic bullish pattern – Is the $1 mark within reach?

After months of bearish pressure, Dogecoin (DOGE) is approaching an important technical threshold – a point that could mark the beginning of a strong bullish rally. Analysts are watching every move of this meme coin, amidst growing hopes for a breakthrough towards the iconic milestone: $1.

The $1 target for Dogecoin is closer than ever

Famous analyst Master Kenobi stated that Dogecoin has the potential to reach $1 before the current bullish cycle ends. Based on technical analysis signals, he believes that DOGE is recreating the classic breakout pattern that has led to strong price increases in the past.

In a recently shared Dogecoin price chart, Master Kenobi marked two important areas. The first area — highlighted in green — extends from September to November 2024, indicating a pivotal breakout as DOGE rises above the primary downtrend line. Following this signal, the price of Dogecoin surged strongly, increasing continuously over the next 55 days.

DOGE/USDT Daily Chart | Source: XThe downtrend line has served as strong resistance for many months, but according to Master Kenobi, the current trend is converging enough to create a breakout phase similar to the past. He emphasizes that the bullish momentum forming is very similar to the period before the historic bull run.

Current price action analysis indicates that the conditions leading to the previous explosive rally are gradually re-emerging. If Dogecoin can successfully break through the bearish resistance line that is hindering the upward trend, then a similar bullish move is entirely possible — potentially bringing the price from the current level of about $0.158 up to $0.9, and even reaching the $1 threshold. Such a jump would equate to a growth of nearly 533%.

Source: TradingViewSimilar to previous trends, the current chart of Dogecoin continues to signal a bullish cycle lasting about 55 days after breaking the resistance level, illustrated by the green arrow and the shaded area on the chart – revealing a potential path towards the $0.9 mark. This is a cautious forecast, with the expected timeframe falling in the first few weeks of June – a notable coincidence with a period that previously witnessed a strong breakout.

In addition, the relative strength index (RSI) of Dogecoin is currently hovering around 43.35 – a range often considered neutral to bearish, indicating that there is still room for growth. Notably, the descending resistance line has been tested multiple times, and if Dogecoin can close a daily candle above this threshold, a new and strong bullish trend could very well be triggered.

Dogecoin's RSI shifts from bearish to bullish

Dogecoin is sending promising reversal signals after breaking through an important technical pattern on the 4-hour timeframe. According to the latest analysis from expert Trader Tardigrade, this meme coin has escaped the Falling Wedge pattern – a pattern that often signals a bullish trend – and is preparing to enter a new acceleration phase. The breakout momentum is reinforced as the RSI index surpasses 50, indicating that market sentiment has shifted from bearish to bullish.

The DOGE/USDT chart on the 4-hour time frame | Source: TradingViewBefore breaking out, Dogecoin traded in a prolonged downward channel, characterized by increasingly lower highs and lows – a classic indication of a potential bullish reversal. Now, that signal is gradually becoming a reality. Based on the current technical developments, Dogecoin is likely to continue towards significant resistance areas in the short term.

You can check the price of DOGE here.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should do their due diligence before making any decisions. We are not responsible for your investment decisions.

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