Dogecoin (DOGE), like the other meme coins, has been facing severe bearish pressure and has not been able to attract a meaningful rally for a while now. Due to its recent price declines, determining the next price trajectory of the crypto asset has been a major discussion within the cryptocurrency landscape.
Delving into the subject, popular cryptocurrency analyst and enthusiast YG Crypto has issued a cautionary projection that has drawn the interest of the Dogecoin community, predicting that the largest meme coin’s value may drop to $0.09.
Dogecoin’s Next Price Trajectory To Be Determined By A Breakout
YG Crypto’s analysis is made in the midst of persistent market instability and increased volatility in the cryptocurrency space, which has experienced notable price swings and a bearish trend in recent weeks. His forecast delves into DOGE’s recent price action, especially a critical support zone that could lead to a price decline if the asset fails to hold around it.
According to YG Crypto, Dogecoin is currently trading close to a crucial support zone between $0.11200 and $0.11500. Should DOGE break below the support range, the expert anticipates a deep correction, possibly reaching the $0.095 threshold. “The overall downward channel also suggests a bearish bias,” the analyst added.
Although DOGE may be poised for a potential downward trend, YG Crypto believes there is still a possibility that the digital asset could turn around and start moving in an upward trajectory.
The expert noted that DOGE might be able to overcome dynamic resistance and bounce back to the $0.170 and $0.176 price levels once again if it can maintain a breakout above $0.16 and reach the upper limit of the channel.
This prediction from YG Crypto emphasizes how unstable Dogecoin’s price has been lately and how important market sentiment is in determining its value.
Is A $1 Or $2 DOGE Possible?
Dogecoin, which is currently trading at about $0.12, has had difficulty holding onto its value during the wider market decline. Cryptocurrency analyst Kaleo has offered insights on the negative movement, noting that he would not be surprised if it dropped to $0.08 or $0.1.
Kaleo highlighted that despite previous price pumps of 6,000% and 30,000% witnessed during the early days of DOGE, it has been moving sideways or down ever since. Given that these explosive moves occurred 8-9 months post-Bitcoin Halving, the analyst does not expect any major move until December and February next year.
Taking all of this into consideration, Kaleo believes the bullish trend could reverse and send DOGE to the 8 – 10 cent region, retracing the upward gain seen in February this year. “A similar trend break with a 30% drawdown and retrace happened in August of 2020, several months before the beginning of DOGE going mainstream and gigasending,” he added.
Even though Kaleo foresees a bearish trend for Dogecoin, he still believes it could hit the $1 and $2 threshold in the upcoming months, triggered by a memecoin supercycle.
Featured image from iStock, chart from Tradingview.com
