Is Dogecoin about to take off? Analyst: Once it stands above $0.20, it will head straight for the historical high of $0.74!
Martinez recently posted on X (formerly Twitter) pointing out that Dogecoin's monthly trend is showing a structure called an 'upward channel'.
To put it simply: DOGE's price has been oscillating like an elevator between two upward sloping lines over the past few years, with the upper line being the resistance level and the lower line being the support line.
🚨 And now, it has quietly 'slid' to the bottom edge of the channel!
If it can stabilize here, it means a rebound from the support level, continuing to 'ride the elevator' upwards;
but if it breaks below the channel, caution is warranted, as it may face downward risks in the short term.
That’s not the best part—Martinez points out that DOGE's current price position is just around the Fibonacci 0.786 retracement level, which is approximately $0.20.
What is Fibonacci retracement? In simple terms, it is a tool many traders use to determine potential rebound levels.
And the 0.786 point often signifies a reversal opportunity after a deep adjustment!
💡 So, the current price level of $0.20 serves as both the 'lower bound of the upward channel' and a 'strong Fibonacci support level'—
What happens if DOGE can successfully stabilize above $0.20?
Martinez believes this would be a strong bullish signal, not only potentially attracting more investors into the market but also pushing the price back to the historical high—around $0.74.
That's right, the peak from that wave in 2021 when 'the boss made a call and the whole network followed suit'.
At that time, DOGE surged dozens of times in a short period thanks to community consensus + FOMO sentiment.
As of the time of publication, Dogecoin's current price is about $0.17, with a rise of over 9% in the past 7 days and a recovery in trading volume.
