Bears Dominate DOGE as Bulls Await Possible Surge in Dogecoin Price

In the current price charts of Dogecoin (DOGE), the bears seem to have the upper hand. However, various narratives and predictions from well-known technical analysts suggest a bullish outlook for the OG meme coin in the short to medium term.

The recent trajectory of Dogecoin has been downward, with bearish patterns halting its momentum on the daily chart over the past month. A double top formation appeared, and the Relative Strength Index (RSI) at 14 was in an overbought condition within that timeframe. Additionally, the 50-day moving average (MA) has consistently remained below the 200-day MA, indicating a continuation of a bearish trend in the near future.

As of the latest data, Dogecoin has been fluctuating between a low of $0.1644 and a high of $0.1718 in the daily chart. The trading volume has decreased by over 10%, with only $943 million worth of DOGE moving across wallet addresses in a day. The bearish conditions have caused the token’s market cap to drop to $25.49 billion, a significant decrease from the year-to-date peak of $61 billion in January.

Despite the downward trend, Dogecoin is still up over 35% in the one-year timeframe but has decreased by over 10% in a week and 24% in the month. However, it is still well above 76% less than its all-time high of $0.7376 reached four years ago. The hope of Dogecoin reaching $1 may seem dashed at this point, but there could be a potential reversal on the horizon.

While major altcoins like Bitcoin (BTC), Ethereum (ETH), and others are seeing growth in traditional finance and institutional adoption, Dogecoin appears to be left out of the narrative with no significant news or hype boosting its value. The promises of integration in payment systems like X (formerly Twitter) and Tesla, as well as potential inclusion in the US Department of Government Efficiency’s efforts, have not materialized.

However, there is still hope for Dogecoin with the pending spot Dogecoin exchange-traded funds (ETFs) applications awaiting final approval from the US Securities and Exchange Commission (SEC) in October. ETF expert James Seyffart believes that there is an 80% chance of approval for the DOGE-based investment products, citing their filing acknowledgment, commodity status, and regulation of related futures contracts by the Commodity Futures Trading Commission (CFTC).

Analyzing Dogecoin’s potential reversal, popular crypto analysts like Ali Martinez, CryptoELITES, and Trader Tardigade have indicated a positive outlook. With multiple buy signals on the 12-hour chart and predictions of crossing the $4 to $5 range based on historical wedge formations and multi-year Fibonacci cycles, there is anticipation for a possible turnaround in the broader market sentiment and a resurgence of interest in Dogecoin within the crypto community.