Dogecoin’s price action continues to draw attention as it consolidates above $0.4. The cryptocurrency is currently trading at $0.409, down 14% from its recent high of $0.4757 in December. Despite the dip, crypto analyst Master Kenobi believes this consolidation is a natural phase in Dogecoin’s journey toward another bullish breakout.
Kenobi’s analysis highlights a similarity between Dogecoin’s current price action and its behavior in late 2020, before the rally in 2021. He notes that cryptocurrencies often exhibit similar price performances in cycles. Dogecoin’s recent price performance is reminiscent of its price action in 2020, following the Bitcoin halving earlier that year.
To replicate its 2020-2021 cycle, Dogecoin needs to close below $0.465 this week for healthy consolidation. If successful, this could lead to a significant price surge by 2025. Master Kenobi predicts that a red weekly close will be followed by two consecutive green weeks, paving the way for a major breakout around December 30th.
This analysis suggests that Dogecoin’s current price action is part of a larger cyclical pattern, with the ongoing red week falling exactly 238 days after the last halving. This aligns with the previous cycle and could indicate a repeat of 2021’s dramatic rally in 2025.
Source: https://bitcoinist.com/dogecoin-price-analysis-why-a-red-close-below-0-465-this-week-is-a-good-thing-for-price