Dogecoin Price Movement: Cup and Handle Pattern, Whale Activity, and Historical Fractals Indicate Potential Volatility

Dogecoin's price movement has garnered significant attention recently, with patterns like the Cup and Handle, whale activity, and historical bullish fractals indicating potential volatility.

Dogecoin price movements have attracted attention lately, with technical patterns like the Cup and Handle, whale activity, and historical bullish fractals hinting at possible volatility.

The meme coin has shown signs of both decline and recovery. But what does the future hold for Dogecoin? Will it crash or rally?

Let’s take a closer look at the contrasting viewpoints.

Dogecoin Price Caught in a Cup and Handle Pattern

A TradingView analyst, Cryptechcapital, has identified a Cup and Handle pattern on Dogecoin price chart, suggesting a potential bearish breakout.

Usually considered a bullish indicator, this pattern in Dogecoin chart hints at a significant dip below $0.2 as part of Wave 4 in an Elliott Wave cycle.

Wave 4 corrections tend to retrace a substantial portion of Wave 3 gains, and if this trend holds, Dogecoin may experience strong downward pressure in the short term.

However, the analysis anticipates a recovery to Wave 5, which could drive the price towards $1 after the correction concludes.

Bullish Fractals Point to a Possible 7,500% Rally

In contrast to the bearish outlook, crypto analyst Ali Martinez highlights a historical fractal pattern that suggests Dogecoin could rally to $23.

Fractals, recurring patterns in price charts, have consistently driven Dogecoin to all-time highs. For instance, the meme coin's breakout in 2021 pushed its price to $0.7.

According to Martinez, the current setup mirrors past bullish runs, with Dogecoin potentially set for a 7,500% surge. This projection hinges on maintaining momentum above key resistance levels, underscoring the possibility of a massive rally in the coming months.

Whales Accumulate Over 90 Million DOGE

Adding optimism to Dogecoin's outlook is the recent surge in whale activity. Over the past 48 hours, whales have accumulated more than 90 million DOGE, signaling long-term confidence despite market uncertainties.

Historically, such whale movements have preceded major price rallies, suggesting that Dogecoin could be preparing for a bullish reversal.

Whale accumulation at the $0.3 level strengthens its support base, but breaching this could lead to further downside, potentially reaching $0.2.

Nevertheless, the current consolidation phase could serve as a foundation for renewed momentum.

Dogecoin's Current Performance and Price Trends

At the time of writing, Dogecoin trades near $0.316, reflecting slight daily gains but insufficient for weekly profitability.