Here’s Why Dogecoin (DOGE) Could Be Preparing for a ‘Massive Bull Run’ – Analyst

TL;DR

The price of Dogecoin (DOGE) has declined sharply, but historical patterns suggest that this drop could precede a major bull run, according to analyst Ali Martinez. Key meme coin metrics such as increases in active wallets, transaction volumes, and daily addresses indicate sustained interest and activity. Is the recent DOGE correction part of the bullish path?

The largest meme coin in terms of market capitalization has suffered painful losses in recent weeks following the latest downturn in the entire crypto sector. Its price has dropped 15% over the past two weeks and 33% on a monthly basis, currently trading around $0.128 (according to CoinGecko data).

However, the popular analyst Alí Martínez remains imperceptible due to the negative trends, suggesting that DOGE’s withdrawal could be “part of his usual behavior before massive bull runs.”

He highlighted several occasions in recent years when the price of the meme coin fell before rising exponentially. The first case was in 2017, when DOGE retreated 40% before exploding nearly 1,000%.

The situation repeated itself in 2021, with the asset’s valuation falling 56%, but then soaring 12,000% to an all-time high of nearly $0.70.

“Now in 2024, DOGE has once again broken out of a descending triangle! It is currently undergoing a 47% price correction, very similar to previous cycles, which could ignite the next DOGE bull run,” concluded Ali Martínez.

Last month, the analyst argued that the meme coin has entered a consolidation phase after previously following a “descending triangle.” He believes its value could reach the $1 milestone if it mimics its historical performance.

These DOGE metrics are headed north

Despite the price drop recently, some indicators related to the Dogecoin ecosystem have risen significantly. As reported by CryptoPotato, non-empty DOGE wallets have increased by 13.8% in the past three months.

Aggregate daily volume where each transaction exceeds $100,000 reached nearly $1.5 billion, representing a 12% increase compared to the figure seen on May 1.

Last but not least, daily active addresses witnessed a 20% increase, surpassing the 66,000 mark (according to IntoTheBlock data).

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