Dogecoin ‘Power of 3’ Pattern Enters Distribution Phase Indicating Potential Rally

Dogecoin has moved past its consolidation phase, driven by a return of greed sentiment in the crypto market. Technical analysis indicates that this could lead to a parabolic rally towards new all-time highs.

Power of 3 Patterns Indicate Bullish Momentum

The Power of 3 pattern describes three phases: accumulation, manipulation, and distribution.
The current price action suggests Dogecoin is in the distribution phase, following previous patterns.
Two consecutive Power of 3 patterns have been identified on the daily chart, with the first leading to multi-year highs.
The second pattern's accumulation phase occurred from early November to mid-December, with recent movements indicating the transition into distribution.

Potential Price Targets

Trader Tardigrade projects that the distribution phase could push Dogecoin above its current all-time high of $0.7316, targeting around $1.3, representing a 225% increase from the current price.
There are parallels drawn to Dogecoin's price movement in 2017, suggesting a similar breakout could lead to a peak above $3 in 2025.

Currently, Dogecoin is trading at $0.3975.