Dogecoin has entered an extended accumulation range after hitting a new yearly peak in May 2024. Since then, the price has fluctuated widely, presumably giving investors the opportunity to re-enter the meme coin at lower prices. However, with the market currently on a decline and expectations for a recovery on the horizon, it appears that Dogecoin investors may be done with their buying. This signals that the drawn-out accumulation trend could be nearing its end, which could be bullish for the meme coin’s price.
Why The Dogecoin Accumulation Has Ended
Crypto analyst VIAQUANT, on the TradingView platform, suggests that the Dogecoin accumulation trend is finally concluding. The analyst points to crucial indicators, particularly the Moving Averages, as evidence. According to VIAQUANT, the Dogecoin price has defended multiple moving averages across significant timeframes. This development indicates not only strength but also an end to the accumulation phase.
The important moving averages in question are the 21-Day Moving Average, the 100-Day Moving Average, and the 200-Day Moving Average. The analysis highlights that on the 3-day chart, the Dogecoin price has held the 200-Day Moving Average. Similarly, the 100-Day Moving Average on the weekly chart has been maintained, even after significant declines in recent weeks. Lastly, the 21-Day Moving Average continues to hold firmly on the monthly chart.
Given these developments, the crypto analyst believes that the consistent defense of these moving averages indicates the end of the Dogecoin accumulation phase. They also posit that this could mean the meme coin is gearing up for another price recovery from this point onwards.
What Happens To DOGE Price From Here?
Currently, Dogecoin prices are still battling the headwinds of a bearish crypto market. However, if VIAQUANT’s analysis holds true, this downturn could be short-lived. Considering the significant drop in the coin’s value over the past few months, a bounce from here could be remarkable.
The crypto analyst points to a similar accumulation trend that occurred at the start of 2024. Following that trend, the DOGE price had surged over 100%. Using this scenario as a reference for the current situation, the analyst predicts another 100% increase in Dogecoin’s price. This would mean the price could surpass $0.2.
Interestingly, the crypto analyst does not expect this move to take long. The chart indicates that the move above $0.2 could be completed sometime in November, suggesting a 3-month timeframe for the analysis to play out.
If you found this analysis insightful, make sure to check out our related articles for more in-depth crypto market trends and predictions.
