• Dogecoin price action positioned perfectly for a sustained rally to $0.25.
  • Underperformance trend likely to end soon.
  • Short sellers are likely to get squeezed and fuel the upcoming rally.

Dogecoin price action has been a significant source of frustration for DOGE fans and investors. However, given the recent underperformance against its peers like Shiba Inu, bulls look for some reprieve from the current stagnation and downtrend - which has lasted for 281 days.

Dogecoin price is inside a key Gann time cycle, warning of probable upswing very soon

Dogecoin price was able to stave off another capitulation move on February 4. The February 4 swing low preceded the 27% rally DOGE experienced until February 7. The whipsaws and wild swings are par for the course for DOGE, which has seen four other whipsaws resulting in 25% to greater than 50% swings up and down since January 2022.

DOGE/USDT Daily Ichimoku Kinko Hyo Chart

The result of these various whipsaws is a bullish reversal pattern currently in development: an inverse head-and-shoulders pattern. This pattern, if triggered, would likely generate the momentum necessary to put Dogecoin price into an Ideal Bullish Ichimoku Breakout on its daily chart while also returning it to the critical $0.25 price level.

Dogecoin’s $0.005/3-box reversal Point and Figure chart compliments the reversal patterns developing on the candlestick chart. A hypothetical long opportunity now exists for Dogecoin price. The hypothetical setup is a buy-stop order at the three-box reversal of the current O-column ($0.165 at the time of publishing). The stop loss is a four-box stop and the profit target, based on the Vertical Profit Target method in Point and Figure analysis, is at $0.26.

DOGE/USDT $0.005/3-box Reversal Point and Figure Chart

If Dogecoin price moves lower and prints one or more Os in the current O column, the buy stop entry and four-box stop move in tandem with price. The profit target, however, remains the same. The hypothetical long entry is invalidated if the current O-column prints an O at $0.11. In that scenario, Dogecoin would likely enter a capitulation zone to test the $0.08 or $0.09 value areas.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Why LUNA traders do not have to be in the market all the time

Why LUNA traders do not have to be in the market all the time

Terra (LUNA) price action has slipped below a critical level outlined a few days ago. As price action moves start to get smaller, a big move is set to happen, but it is very cloudy to see where that move will be going.

More Terra News

SEC vs. Ripple case, two key decisions awaited by XRP holders

SEC vs. Ripple case, two key decisions awaited by XRP holders

XRP holders are awaiting key decisions in the SEC vs. Ripple case. Experts believe judge Sarah Netburn could rule on the two key decisions in the lawsuit against payment giant Ripple. 

More Ripple News

MATIC price explodes as Polygon achieves Carbon neutrality

MATIC price explodes as Polygon achieves Carbon neutrality

MATIC’s purchase of carbon credits through KlimaDAO partnership represented 104,794 tonnes of greenhouse gasses, equivalent to the Ethereum scaling solution’s debt since 2019. Carbon neutrality has fueled a bullish sentiment among traders and 

More Polygon News

Things have suddenly changed for the Shiba Inu price, is the bottom in?

Things have suddenly changed for the Shiba Inu price, is the bottom in?

Shiba Inu price may have bottomed but this can only be confirmed if the current rally persists. Traders should be aware of several factors. Shiba Inu price has suddenly changed as the bulls have printed a significantly large bullish engulfing candle on the daily chart. 

More Shiba Inu news

Bitcoin: Everything you need to know about BTC 200-week MA

Bitcoin: Everything you need to know about BTC 200-week MA

Bitcoin price has gone through turbulent times over the last few months. From reaching a new all-time high to hitting yearly lows and revisiting levels since 2020, the crypto markets have been extremely volatile.

Read full analysis