Dogecoin price seems to be experiencing a continued downtrend. However, the latest Dogecoin price prediction states that DOGE might gain a 20 percent upswing in value soon.
According to FX Street, the Dogecoin price has been at a critical stage recently as itremains close to a demand barrier, which if broken might result in a major crash. The January 5 dip, however, hints of a possible rise sooner rather than later.
Dogecoin Price Prediction
Investors and traders are keeping an eye on Dogecoin right now, as its price is hovering around a key demand level. A big fall could occur if Dogecoin breaks out; yet, there is a pattern showing that Dogecoin could rise by roughly 20 percent.
As reported by Analytics Insight, Dogecoin has dropped 14 percent in value, following Bitcoin and other altcoins. As the Dogecoin correction progresses, the public may see a bullish scenario, similar to the one seen during the coin's December 3 drop.
The last time a similar setup was seen was when Elon Musk tweeted that the dog-themed coin would be more useful for payments than Bitcoin. However, it is worth noting that the predicted rally this time is just minor compared to the previous one.
After a 14 percent raise, the Dogecoin price will revisit the immediate resistance barrier at $0.176, assuming the positive narrative holds true. DOGE will be able to peg the 50-day Simple Moving Average (SMA) at $0.187 if it clears this level. This will be a 20 percent increase.
The Dogecoin price is looking bad as a result of the latest fall. As a result, the bear market could persist without providing bulls a chance to recover. DOGE could fall lower if this scenario plays out, with a four-hour candlestick close below $0.151. In this case, Dogecoin price prediction sees it may return to the swing low of $0.129 set on December 4th.
As stated by Analytics Insight, at the present price, 52 percent of holders are profiting, while 61 percent of all Dogecoin holders can be classified as significant holdings. A total of 41 percent of these token holders keep their tokens for more than a year, showing that they are likely to keep their Doge even if the price drops. In fact, they may be able to pick up some Dogecoin at a discount to add to their already hefty luggage.
2021 was the best year for Dogecoin so far as it reached greater heights in just a short amount of time. In January, it was trading at US$0.007, and in May, it reached an all-time high of US$0.7381 and it continued to progress throughout the year.
During the current slide from record price levels achieved late last year, Dogecoin, Shiba Inu and other tokens associated more with internet jokes than actual software products have been hammered more than industry originals Bitcoin and Ethereum.
Nevertheless, all cryptocurrencies were hit hard Wednesday when Bitcoin plunged more than 7 percent, pushing other digital currencies down with it. Doge was no exception and its value plummeted as well.