Dogecoin Prepares to Rise 60%—Will the Price Increase or Decrease?

An analyst has explained how Dogecoin may be preparing for a 60% price volatility. Below is the range that could determine the direction of the breakout. Dogecoin Is Approaching The Apex Of The Triangle Pattern In a recent post on X, analyst Ali Martinez discussed how Dogecoin is currently viewed from a technical analysis perspective (TA). Below is the chart shared by the analyst showing the price trend of DOGE over 1 day.

As shown in the chart, the daily price of Dogecoin has traded within the triangular channel. A triangle is a TA pattern that forms whenever the price of an asset observes consolidation between two converging trendlines. The upper line of the model has the potential to provide resistance levels for the price, while the lower line offers support. A breakout of either line could signal a continuation of the trend in that direction. There are several types of triangles, among which some common types are Symmetrical, Ascending, and Descending variations. The direction of the trend lines determines the type of triangle. In a symmetrical triangle, the lines converge at nearly equal and opposite slopes. This means that when the price moves within the pattern, both upward and downward volatility decreases in a balanced manner. However, for the Ascending and Descending versions, there is a bias towards either increase or decrease. In the former version, the trend line is parallel to the time and price axis, gradually creating higher lows. Similarly, the latter version involves lower highs with flat support levels. From the chart, it is clear that the triangle pattern that Dogecoin has been moving within for the past few months is similar to the symmetrical triangle pattern, but tends to lean slightly towards a downward trend. It can also be seen that DOGE is approaching the end of the triangle. Overall, the likelihood of a breakout from the triangle increases as the asset approaches the peak, as the consolidation range tightens in this area. Considering that Dogecoin may be in this zone, its spring may be ready to burst. Based on the daily price formation model, the analyst has noted that DOGE seems to be poised for a 60% upward move. Regarding how the breakout will occur, that naturally depends on the path that the memecoin takes out of the triangle. Martinez notes that "All you need to do is wait for the daily closing price to be outside the range of $0.16 to $0.22 to determine the direction of the trend."