By Michael Scott
Veteran analysts downplay recent pullbacks as four factors indicate Dogecoin’s entry into the bullish phase.
A recent update on X by analyst Ali Martinez identifies several factors suggesting Dogecoin’s (DOGE) entry into the parabolic run. The analyst cited a series of commentaries regarding DOGE’s November bull run and potential for an upward trajectory.
Whale Accumulation Amid Robust Momentum
The massive price surge post the re-election of Donald Trump saw Dogecoin leap 177% from $0.1582 to a three-year peak of $0.4385 by November 12. The meme-inspired uptrend would subside as DOGE encountered resistance at its recent peak.
While the DOGE experienced pullback, Martinez notes that its momentum is robust. The memecoin has continually avoided huge slips, instead holds above the $0.38 territory. It will likely leverage the region as its springboard for the subsequent bullish run.
The market analyst reveals massive whale activity as a key factor propelling Dogecoin’s bullish run. Specifically, whales bought 140M units of DOGE on November 15, whose value was estimated at $56 million at transaction time. The large-scale accumulation hints that investors are confident and optimistic about Dogecoin optimizing potential in the long term.
Retail Investors Pursue Dogecoin Prospects
A previous post by Martinez illustrated that Dogecoin is weathering the skepticism regarding market cap constraints with its popularity yet to reach its peak. The November 17 post demonstrates that beyond the meme-driven hype, search interest for DOGE is below the all-time highs. It yields an ideal opportunity for substantial growth.
Martinez reflects on the community poll that concluded on November 12. The analyst shows that 83% of respondents affirmed preference for DOGE over Bitcoin (BTC) investment.
Technical Indicators Support Bullish Prediction for DOGE
A glance at the technical indicators by Martinez shows the DOGE’s Market Value to Realized Value (MVRV) ratio aligns with the recent consolidation phase. Martizen demonstrated on November 12 that MVRV retraced to 45.65% as the price plunged.
The analyst reiterates that Dogecoin historically attains market highs whenever the MVRV ratio leaps above 78%. In this awareness, Martinez observes that at $5.65%, the MVRV ratio is below such a level, thus indicating further price growth potential.
A subsequent commentary by Martinez highlights that the world’s largest memecoin adheres to the parallel price channel. Such establishes resistance range at $2.40 and $18 price levels. The pattern demonstrates that DOGE could rebound from the present levels to claim higher targets.
Fibonacci Levels Signal Dogecoin Peak Points
Martinez cited historical data to demonstrate that DOGE hit peak prices in the previous bull runs within the 1.618 and 2.272 Fibonacci retracement levels. The two levels correspond to the $3.95 and $23.26 price levels.
The analyst cautioned that attaining such parabolic runs often features steep corrections. Specifically, he recalls the 2017 and 2021 bull cycles, where the DOGE suffered corrections within the 40% and 84% range.
Martinez dismisses the recent correction by offering an optimistic outlook about Dogecoin’s future. He added that the fluctuations witnessed since the peak are constituents of the parabolic run rhythm. As such, the commentaries suggest Dogecoin is within the early stages of a historic bull run.
Dogecoin Emerges a Changed Coin
Experts add weight to Martinez’s conviction that Dogecoin still has its best days ahead. GSR research analyst Thomas Bautista explains that Dogecoin’s value shook off ties from the one-off news cycle, such as Musk’s praise back in 2021. DOGE is beyond the “Saturday Night Live” news to become integrated into US politics and culture to have sustained relevance levels.
Bautista clarified hesitance to cap the Dogecoin gains, citing the ongoing attention cycle where it appears to push the price ceiling further. Consequently, the researcher predicts DOGE will break free from the Musk-related plug only to deflate sharply.
The GSR analyst notes that DOGE is beyond the moment prisoner, which will surge by 20% and only erode the gains in a week. Bautista points to the pro-crypto tenor that the incoming US government exhibits. Also, Musk’s centrality to the Donald Trump-led administration could see Dogecoin become a payment method for the X and Tesla.
Bautista echoes Martinez’s bold prediction of Dogecoin’s upward trajectory, indicating that the asset will leverage the dynamic narrative that never existed in previous cycles. Bitwise researcher Ryan Rasmussen backs this argument, expecting a new peak in the build-up to Trump’s inauguration.