Amid the crypto market decline, the Dogecoin price has fallen below the support at $0.18, seemingly turning the meme coin bearish in the short term. However, this decline has not dissuaded Dogecoin bulls who continue to believe in the altcoin’s potential to rise. In fact, calls for a rise above $1 seem to have amplified during this time, and analysts have predicted that the over 400% move required to hit this coveted figure could be around the corner.
Why Dogecoin Price Could See $1.25
In an X (formerly Twitter) post, crypto analyst Javon Marks has revealed why the Dogecoin price remains bullish and where it could go from here. According to the analyst, the first sign that the meme coin is still bullish is the fact that it continues to put in higher lows despite the market crashes.
Amid the market breakdown, the Dogecoin price has also maintained its bullish structure, which suggests that a breakout could be coming. This resultant move is expected to be massive as the initial leg-up is expected to send the meme coin flying by 260% to reach $0.6533.
If this analysis does come to pass and the price does hit this level above $0.6, it would be the highest point that the Dogecoin price has seen in over three years. However, the crypto analyst doesn’t expect the rally to stop there. Rather, he believes that this could trigger a new path toward new all-time highs.
Following the first 260% breakout, Javon Marks calls out the possibility of a post-breakout chop that could drive prices higher. In this case, he sees the $1.25 target coming into play, which would bring the total move to 600% if it goes according to plan.
What DOGE Metrics Are saying
Currently, the Dogecoin metrics have remained low, mirroring the negative sentiment that has blown through the space. For example, the meme coin’s daily volume remains low and averages around $4 billion so far this month, showing a far cry from its over $10 billion figures recorded in May, according to data from Coinglass.
In the same vein, open interest has also continued to drop, falling below $2 billion over the last few days. This has naturally followed the decline in the Dogecoin price as investors remain uncertain as to where the altcoin could be headed next. This explained the decreased participation.
Both of these metrics turning downward show a heightened sense of caution in the market. This is not out of the ordinary, as the general market sentiment remains neutral at this point. This means that there would need to be a definite move either upward or downward to get investors placing their bets again.
Featured image from Dall.E, chart from TradingView.com
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