Dogecoin Rebounds After 40% Drop, Analyst Suggests Cycle Bottom

Dogecoin rebounded after a recent decline, hitting a multi-month low during market-wide liquidation. Technical analysis suggests it may have reached its cycle bottom before a potential price surge.

Dogecoin Tests Key Support After 40% Drop

The cryptocurrency market faced significant downturns last week, with Dogecoin experiencing a nearly 40% drop to around $0.22, the lowest since early November 2024.
Technical analysis indicates that $0.22 is a crucial trendline for Dogecoin's price movements in 2024 and may now serve as strong support.
Currently, Dogecoin has rebounded to approximately $0.2561, reflecting a 16% increase from its recent low, aided by buyer activity at the support level.
The ability to maintain this support will determine if Dogecoin has truly reached a bottom.

Historical Pullbacks Point To $2 Price Target

Trader Tardigrade identified a pattern of over 50% pullbacks in Dogecoin's price following strong rallies, typically leading to significant rebounds.
Major historical pullbacks included declines of 59.76%, 56.2%, and 58.25%. Recent corrections are expected to be followed by strong recovery phases.
Previous rebounds have led to substantial increases, with predictions suggesting a potential rise to a $2 price target based on past performance.
Analysts suggest breaking above $0.30 is crucial for bullish momentum.