DOGE price has largely struggled to return to $0.2 since losing that price level in early April. And the piece of money has been mostly down over the past few weeks, falling as low as $1.4 at one point.
However, the tide appears to be changing for Dogecoin investors, with the meme token seeing positive price performance over the past week. The double-digit gain and optimistic price development over the past seven days have not gone unnoticed by experts, as many predict a continuation of the uptrend in DOGE price in the near future.
Is a price rise imminent for Dogecoin?
Prominent crypto analyst Ali Martinez used the X platform to share an interesting analysis and projection for Dogecoin price. According to the expert, DOGE's recent price action signals a potential upward recovery over the coming days.
The reasoning behind this bullish forecast revolves around the TD Sequential Indicator (Tom Demark). Martinez mentioned that this indicator issued a buy signal on the daily chart of Dogecoin, suggesting that a price rally lasting one to four days could be on the cards.
The Tom Demark Sequential is a technical analysis indicator used to identify potential points of trend exhaustion and price reversal. Typically, the TD Sequential indicator has two main phases called “setup” and “countdown”.
The setup phase consists of nine consecutive candlesticks depending on whether the token is in an uptrend or downtrend. The countdown phase, on the other hand, consists of 13 consecutive candlesticks, which start immediately after the “setup” ends.
DOGE price chart showing the setup phase | Source: Ali_charts/X
IIn the chart highlighted above, DOGE price has just completed the nine-candle pattern phase, which may signal a potential price reversal. Since this phase consisted mainly of bearish candles, the TD Sequential could indicate a bottom for the price of Dogecoin.
Ultimately, it is likely that investors will see DOGE price return to $0.2 if the potential rally produces four consecutive bullish candles. However, they could keep an eye on the formation of the “countdown” phase.
The completion of the countdown phase on Dogecoin's daily chart could signal an even stronger move and more sustainable price reversal. This could see the meme token break out of its current downtrend and gain some momentum for higher price levels.
DOGE price at a glance
At the time of writing these lines, the DOGE Price stands at around $0.1618, reflecting a significant increase of 4.7% over the past 24 hours.
DOGE price showing signs of resurgence on the daily timeframe | Source: DOGEUSDT chart on TradingView
Featured image from iStock, chart from TradingView
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