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Since last week, the cryptocurrency market has experienced a significant correction following the U.S. Fed’s rate cut and Bitcoin slip below $95K. The selling accelerated in the meme market due to their volatile nature, triggering a substantial pullback in assets like DOGE and SHIB. However, crypto analysts highlight the Dogecoin price pullback mirrors the 2017 and 2022 parabolic run, indicating a potential rally in the near future.
According to Coinmarketcap, the dog-themed memecoin trades at $0.32 with an intraday gain of 3.32%. Meanwhile, the asset’s market cap stands at $47 Billion, and the 24-trading volume wavers at $4.16 Billion.
Key Highlights:
- Historical data suggests that such corrections are a natural part of Dogecoin’s price cycles, often preceding explosive upward movements.
- The memecoin price sustaining above 50% Fibonacci retracement level indicates the broader market trend is bullish.
- The $0.28 and $0.22 stands as key pullback support for DOGE.
History Repeating? Dogecoin Price Eyes $17.9 with Parabolic Rally
Dogecoin, the popular meme cryptocurrency, appears to be repeating its historical patterns of parabolic rallies, sparking excitement among investors. In a recent tweet, renowned analyst Ali Martinez drew investors’ attention to DOGE’s 2021 rally, which recorded a surge of 212% before a 40% correction and then delivered a massive surge of 5,000%.
A similar trend unfolded in 2021 when Dogecoin price gained 476%, corrected by 56%, and later surged by a staggering 12,000%, capturing widespread attention during the crypto market’s bull run.
In 2024, Dogecoin had already climbed 440% before retracing 46%, closely mirroring its past behavior. Analysts believe the current correction retracement could recuperate the bullish momentum for parabolic growth ahead.
If history repeats, the Dogecoin price prediction could extend its target to $17.9, indicating a potential growth of 5,500%.
Key Fibonacci Support Levels to Watch
In the last two weeks, the Dogecoin price showcased a sharp pullback from $0.48 to $0.327, accounting for a 32.5% retracement. While the selling pressure continues to mount with Bitcoin correction below $95k, the DOGE has shifted its price trajectory sideways.
The daily chart shows a long-tail rejection candle indicating the renewed demand pressure at $0.28, backed by a 50% FIB level. Theoretically, this level is crucial for buyers to bottom on the ongoing correction.
However, the buyers could seek support at $0.22 if the correction extends, aligned with the 61.8% FIB level.