- Analysts suggest that Dogecoin (DOGE) has likely completed its correction phase and is poised for a rebound, with key technical indicators like RSI and Fibonacci retracement supporting a potential price surge.
- Additionally, factors such as possible integration into Elon Musk’s X platform and the growing meme coin market could further drive DOGE’s value upward.
Dogecoin (DOGE), the pioneering meme cryptocurrency, has re-entered the spotlight among market analysts and investors. Despite its recent price drop, many experts argue that DOGE remains undervalued, making it an attractive investment opportunity.
Has Dogecoin Completed Its Correction?
Crypto analyst Asif.eth (@asifeth) suggests that Dogecoin has likely completed its corrective phase and is poised for a rebound. Using the Elliott Wave ABC correction pattern, he outlines a scenario where DOGE has undergone three corrective phases (A, B, and C). The final C-wave appears to have settled within the key support range of $0.24 to $0.18, an area he describes as a “huge supply turned into demand zone.”
According to Asif.eth, this price range presents an excellent opportunity to accumulate Dogecoin. However, he warns that a drop below $0.16 could invalidate the bullish setup, signaling the potential for deeper losses.
Key Technical Indicators Supporting a DOGE Rebound
Several technical factors reinforce the bullish outlook for Dogecoin:
- Relative Strength Index (RSI) in Oversold Territory
The RSI recently entered oversold levels, a strong buy signal in technical analysis. This suggests that selling pressure may have reached exhaustion, increasing the probability of a price reversal. - Fibonacci Retracement Levels Align with Support
The Fibonacci retracement levels indicate that DOGE’s current price sits at a historically significant support zone. This alignment strengthens the case for a potential bounce. - Potential to Retest $0.31 Resistance
If DOGE holds its support level and bullish momentum builds, the next key resistance to watch is around $0.31. A break above this level could further confirm the rebound.
Factors That Could Fuel a DOGE Rally
Beyond technical indicators, several fundamental factors could drive Dogecoin’s price appreciation:
- Elon Musk’s X Platform Integration: Speculation continues about Dogecoin’s potential integration into X (formerly Twitter) as a payment option, which could drive significant adoption and demand.
- Meme Coin Market Expansion: The broader meme coin market is nearing a $100 billion valuation, and DOGE, as the pioneer, could benefit from renewed speculative interest.
- Political Influence: Former U.S. President Donald Trump’s return to the political scene has fueled discussions around cryptocurrency regulations. With reported ties to key figures in the crypto space, greater regulatory clarity could favor DOGE.
Should You Invest in Dogecoin Now?
With DOGE trading under $0.50, some investors see this as an attractive accumulation opportunity. While meme coins remain speculative assets, Dogecoin’s strong community and potential real-world adoption could support its long-term value.
Still, analysts caution that DOGE’s price action relies heavily on market sentiment. Investors should closely monitor key levels, particularly the $0.16 support, as it could determine the coin’s future trajectory.
As analyst Asif.eth puts it, “Dogecoin is looking very, very good and very, very discounted in this whole market.” Whether DOGE can capitalize on this setup remains to be seen, but for now, market watchers are keeping a close eye on its next move.
