- A hidden Bullish Divergence pattern has appeared on the Dogecoin price chart, signaling possibilities of a significant uptrend
- Based on the Bullish Divergence, a crypto analyst has projected a target of $0.7 for the Dogecoin price
- Another analyst suggests Dogecoin could reach a new all-time high between $1.4 and $1.8 this bull cycle, potentially driven by Elon Musk’s influence and Donald Trump’s presidency
Dogecoin has seen massive growth over the past months, skyrocketing from $0.01 to over $0.035 within just weeks. Now, a newly identified technical indicator suggests the popular meme coin could be gearing up for even more upside action.
Spotting a Hidden Bullish Divergence
On November 20, crypto analyst Trader Tardigrade announced on Twitter the appearance of a hidden bullish divergence on Dogecoin’s 4-hour Relative Strength Index (RSI) chart. This unique technical pattern indicates that despite declining momentum on the RSI, Dogecoin’s price has maintained strength, suggesting the potential for further uptrend continuation.
The Importance of the 0.04 Resistance
Recently, Dogecoin has repeatedly failed to break through the critical 0.04 resistance level. Breaking this threshold could trigger a significant rally for the meme coin.
How High Can Dogecoin Go?
Based on the bullish divergence, Trader Tardigrade has set a target of $0.07 for DOGE. This would represent a 842% increase from the current $0.038 price. Other analysts like Steph have an even more bullish outlook, with targets between $1.4 and $1.8 next cycle.
Macro Trends Driving Dogecoin FOMO
Several macro factors could drive further DOGE upside, including Elon Musk‘s new “Department of Government Efficiency” initiative and Donald Trump‘s upcoming inauguration. With the stars aligning for Dogecoin, the meme coin could be on track to retest and break its all-time high of $0.73 from the 2021 bull market.
Conclusion
With Bitcoin continuing its bull run, increased institutional adoption, and meme coin mania still in full swing, Dogecoin seems primed for massive growth ahead. The hidden bullish divergence provides further confirmation of the strengthening uptrend. As DOGE breaks through critical overhead resistance, FOMO could drive the meme coin to dramatically higher highs.
