A well-known crypto strategist suggests that Dogecoin (DOGE), the popular memecoin, could enter a bull market if it successfully breaks through two resistance levels. The analyst, Ali Martinez, who has a significant following on social media, explains that DOGE is currently trading within a large triangle pattern.
According to Martinez, if DOGE manages to convincingly break out of this technical formation, it could potentially reach a new all-time high. However, he cautions that caution should be exercised around the $0.0482 support level, as any weakness at this level could lead to a new yearly low. On the other hand, a weekly candlestick close above $0.0835 would likely trigger the start of a new DOGE bull run, with a potential target of $1.
Taking a closer look at the analyst’s chart, it’s evident that there are two key resistance levels for DOGE. The first is the multi-year diagonal resistance of the triangle pattern, while the second is the horizontal resistance at $0.083.
As of now, DOGE is trading at $0.059, representing a sharp decline of over 91% from its all-time high of $0.731, which it reached in May 2021. However, the analyst’s analysis suggests that there is potential for significant upside if DOGE manages to break out of its current trading range.
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While DOGE is a prominent cryptocurrency, Martinez also keeps a close watch on Bitcoin (BTC), the largest crypto asset by market cap. His attention is drawn to Bitcoin’s realized price warm supply metric, which tracks the average buying price of all coins that have not been moved for a week to six months. According to Martinez, a sustained close above $28,233 for this metric would signal the beginning of a new bull run for BTC.
At the time of writing, Bitcoin is trading at $26,932 and falling just short of the threshold identified by the analyst. It remains to be seen if BTC can surpass this level and ignite a new phase of bullish momentum in the market.
In conclusion, both Dogecoin and Bitcoin hold significant potential for future price movements. If DOGE can break through its current resistance levels and BTC manages to sustain a close above the stated threshold, it could signal the start of exciting developments in the crypto market. However, investors should remain cautious and conduct their own research before making any investment decisions. It’s important to note that cryptocurrency investments carry inherent risks, and losses incurred are the responsibility of the individual investor.
This content was generated using DALLE-2, an artificial intelligence model capable of producing human-like text. The opinions expressed in this content do not constitute investment advice, and readers should seek professional financial advice before making any investment decisions.
