Don’t Be Surprised If Dogecoin Hits $1 Or $2 ‘In A Hurry’: Analyst
Cryptocurrency analyst Cantonese Cat (@cantonmeow) proposed a scenario where Dogecoin could reach $1 or even $2 relatively quickly. The analyst posted on
Why Dogecoin is more bullish than the last cycle
In a recent YouTube video, Cantonese Cat provided in-depth technical analysis, comparing Dogecoin’s current cycle to previous historical runs. The analyst highlighted that last cycle, the price encountered rejection near the 0.786 Fibonacci level (log scale) before retreating and consolidating at the 0.618 level for about four weeks.
This time, however, Dogecoin appears to be sustaining price action above the 0.786 log Fibonacci level without further correction. Cantonese Cat said, “So far, we’re above 0.786. That’s crazy. It looks like it just wants to keep going higher and form a really nice bull flag pattern.”
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Taking into account the weekly Ichimoku cloud signal and higher time frame indicators, the analyst highlighted that multiple technical factors appear to be consistent with further bullish momentum. “If you’re still just following the weekly Ichimoku (cloud), we’ve broken through that convincingly,” he explained.
Referring to the monthly chart, he added: “We broke out of the monthly cloud very convincingly, and here in January 2021 we just broke through it in one fell swoop. Here (last month) we were at 11 It was broken in March and the 0.786 Fibonacci level was reached here, which was rejected and we broke through (0.786 in the first days of December).”
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The analyst also pointed out that unlike the previous cycle, Dogecoin did not show a significant retracement before trying higher levels: “It doesn’t even want to do a massive backtest or anything. You’re interested in the monthly ( Cloud) had some kind of close backtest, but it didn’t really hit the target, so all of that is very optimistic.”
Cantonese cats believe in Dogecoin May soon challenge its all-time highciting a more bullish overall chart structure relative to the previous cycle. “I think DOGE will hit a new all-time high soon. Even the SuperIchi monthly data is ready…it’s a pretty bullish chart,” he commented.
The analyst mentioned potential Fibonacci extension targets of $2.3 (1.414 extension) or even $4 (1.618 extension), stressing that these levels, while seemingly high, are still theoretically possible given current market conditions. “It’s a little crazy considering the market capitalization, but so far I can’t deny the situation – it actually looks bigger than last cycle“.
At press time, DOGE was trading at $0.44.
Featured image created using DALL.E, chart from TradingView.com
