Dogecoin has plunged violently at some level of the last 24 hours, shedding a substantial chunk of its worth in a brutal correction across the total crypto market. What regarded love a sustain above $0.25 grew to turned into into a like a flash breakdown that dragged the Dogecoin heed to as low as $0.148 inner 24 hours.
On the opposite hand, technical diagnosis from crypto analyst Kaleo shows Dogecoin is ready to hit new all-time highs. In a put up on X, he doubled down on a remarkably bullish prediction, citing that $6.90 is a “magnet” for Dogecoin.
Dogecoin Chart Tells The Story
In his put up on the social media platform X, Kaleo neatly-known how contributors of the crypto neighborhood are increasingly waking up to search how primed Dogecoin is to reach elevated ranges. The chart accompanying Kaleo’s put up shows the historical sample that Dogecoin has followed after earlier Bitcoin halvings.
Each and every halving has always been followed by years of large upside moves in Dogecoin’s heed, with the meme coin breaking out of long-timeframe descending resistance traces to chronicle exponential gains. Examples confirmed on this chart are the 2017 and 2021 explosive heed surges.
Kaleo suggested that the present market fragment mirrors the an identical structure viewed merely sooner than the 2021 bull escape, when Dogecoin broke above a key decrease-high resistance from its earlier all-time high. This moment is illustrated on the chart with the effect “We’re right here.”
Dogecoin Establish Chart. Source: @CryptoKaleo on X
The $6.90 Magnet: Kaleo’s Logic On the abet of The Forecast
Kaleo acknowledged that the projection of a $6.9 Dogecoin heed target also can sound a miniature too bullish, however his good judgment relies on the good judgment of market cap math. In his put up, he explained that his projection for Bitcoin this cycle is to surpass $500,000. If Bitcoin surpasses $500,000 as expected, it would translate to a $10 trillion market capitalization.
This sheer amount of inflow would circulate into the the leisure of the crypto market, and Dogecoin would possibly per chance per chance theoretically reach 10% of Bitcoin’s valuation, merely as it did all by strategy of the 2021 mania. That ratio implies a $1 trillion market cap for Dogecoin, which is an much like a $6.94 heed per token basically based on the present circulating provide.
Dogecoin’s contemporary heed crash has refined this bullish chronicle. As a replacement of confirming an drawing near near breakout, the meme coin has fallen below the $0.25 make stronger level. On the time of writing, Dogecoin is procuring and selling at $0.1971, down by 21.4% prior to now 24 hours and having reached an intraday low of $0.1489.
The breakdown looks love the more or much less market-broad liquidity flushes in overall viewed sooner than major reversals. Yet, it additionally risks extending Dogecoin’s bearish structure and delaying any breakout if the heed fails to derive higher rapidly. Steady now, recovery above $0.25 is main for bulls to rebuild bullish momentum.
Featured image from Unsplash, chart from TradingView
