- In line with DOGE’s PMO indicator, the analyst observes bullish momentum.
- In massive transfers, whales moved 1.1B DOGE. That was worth $445 Million.
- Following trends from 2017 and 2020, the Dogecoin rally is met with a TD sell signal.
Dogecoin (DOGE) has recently emerged as one of the crypto market’s top performers. Furthermore, the token broke out of a falling wedge pattern. Over the past 34 days, the DOGE price has surged by an impressive 220%. It climbed from $0.12826 to surpass $0.42267.
This rally was driven by Dogecoin news surrounding the Department of Government Efficiency (DOGE) establishment. It’s a presidential advisory group co-chaired by prominent figures Elon Musk and Vivek Ramaswamy.
The announcement sparked a wave of investor optimism, propelling the bull run. However, the rally has recently leveled off. With this, the DOGE crypto has traded sideways for the past 16 days.
The lack of sufficient buyer volume has slowed momentum. Still, the DOGE/USD daily chart remained overwhelmingly bullish, awaiting a catalyst to trigger the next significant move.
Analysts suggest that the chart’s structure resembles past bull cycles. Indicators like the PMO (Price Momentum Oscillator) have pointed to continued growth.
These technical patterns suggested the rally was far from over. Moving ahead, the Dogecoin price still has substantial upside potential. Additionally, large-scale whale activity signaled growing confidence in the asset’s long-term outlook.
While minor corrections may occur, they are expected to serve as healthy pauses in a broader upward trend. At present, the overall crypto market is showing bullish momentum. That was primarily fueled by Bitcoin’s (BTC) remarkable rally following the 2024 U.S. presidential election.
Many altcoins and meme coins have followed suit. However, DOGE has managed to outpace BTC on a year-to-date basis. While BTC has gained approximately 115% since January, the DOGE price has soared 350%. That solidified its status as a standout performer in the market.
Analyst Sees PMO Signalling to Go Green on DOGE Price for a Major Rally
The Price Momentum Oscillator (PMO) is a key technical indicator that measures the rate of change in an asset’s price. The PMO shows signs of a potential new bull run on Dogecoin’s weekly chart.
Historically, when the PMO has turned bullish and crossed vital thresholds, it has signaled substantial rallies. The same was seen in 2017 and 2021 when the indicator reached significant highs.
The PMO was trending upward with smaller increments. It resembled previous patterns that marked the beginning of explosive growth. This suggested that the DOGE price may be in the early stages of another major rally.
Analyst Trader Tardigrade highlighted that prolonged consolidation phases preceded each past bull run. This happened before the breakout momentum was confirmed.
The consistency of the PMO’s signals at the onset of DOGE crypto‘s past bull markets reinforced its reliability. It has been established as a trend indicator for the asset.
The current upward movement of the PMO suggested growing market strength and renewed buying pressure. Moreover, it showed the potential for significant price appreciation.
Historical patterns indicate that DOGE could be on the brink of another major rally with substantial upside potential. Although the PMO is still at relatively low levels every week, this implies a higher likelihood of a price surge.
However, for this trend to continue, it will require sustained momentum and bullish confirmation. Given the broader positive sentiment in the market, there’s strong evidence to support the validity of this signal.
If the altcoin season gains momentum, the DOGE price is well-positioned to attract significant capital inflows. That would help further fuel and extend its rally.
Large-Scale DOGE Whale Movements Fuel Market Speculation
In the past 24 hours, Whale Alert has reported significant transfers of 1.1 billion DOGE. That was valued at over $445 Million between anonymous wallets.
These transactions involve two separate transfers of 300 million DOGE. It was worth $121.3 Million each, and one transfer of 500 million DOGE, valued at $202.3 Million.
The movement suggested large-scale, non-exchange trading. This hinted at internal wallet restructuring, over-the-counter (OTC) deals, or preparations for strategic moves by a major player.
Such large transfers often precede notable price fluctuations. They signal substantial shifts in holdings, whether for accumulation or liquidation. Market watchers closely monitor these movements, as further transfers could indicate continued accumulation.
That could potentially drive a bullish trend for the DOGE crypto. Conversely, if the assets flow into exchanges, it may signal selling pressure that could trigger short-term volatility in the price.
Market Corrections Indicate Healthy Breaks in Dogecoin’s Ongoing Bullish Trend
The DOGE price has experienced a historic surge. It is moving within a parabolic trend channel that echoes its rallies in 2017 and 2020.
During those earlier bull runs, TD sequential sell signals often coincided with the price hitting the channel’s upper boundary. That led to brief pauses before the bullish momentum resumed.
The latest TD signal suggests a potential short-term pullback. Analysts like Ali Charts describe it as a “time to consolidate, not reverse.”
Despite these sell signals, the DOGE price remains within the parabolic channel, signaling that the overall uptrend is still intact. Such corrections are seen as natural pauses in the larger bullish movement.
Per Ali’s Dogecoin price prediction, maintaining support near the channel’s midline will be crucial for this rally to be sustained. If Dogecoin can break and hold above the upper boundary, it could gain significant bullish momentum. This could potentially set new record highs.
Conversely, if the correction deepens, the channel’s lower boundary will be vital as a support level. That could help preserve the long-term upward trajectory.
Disclaimer
In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
