A closely followed crypto analyst says that the top memecoin Dogecoin (DOGE) may be primed for an explosive move to the upside.
In a new thread, crypto trader Ali Martinez tells his 141,400 followers on the social media platform X that DOGE may be forming a bullish reversal pattern on the daily chart and potentially increase more than 76% from its current value.
“Dogecoin seems to be shaping a double bottom pattern, targeting $0.42!”
The analyst also says that DOGE needs to break through a key resistance level at $0.36 to maintain the uptrend based on Dogecoin’s URPD, or UTXO (unspent transaction output) realized price distribution, which keeps track of the number of existing coins that last moved within a given price range.
“As Dogecoin overcomes the $0.20 resistance barrier, the next key hurdle to watch is $0.36!”
DOGE is trading for $0.238 at time of writing, up 12.5% in the last 24 hours.
Next up, the analyst says Bitcoin may increase more than 12% of its current value if BTC can hold $121,000 as support.
“A daily close above $121,000 could pave the way for Bitcoin to rally toward $132,000!”
He also says Bitcoin is facing a key resistance key level at $121,500 based on BTC’s heatmap of leveraged positions.
“Traders keep shorting Bitcoin, building a big liquidation wall at $121,500!”
Lastly, the analyst says that the volume of large Bitcoin transactions is signaling market bullishness, reaching a new high over the past three months.
“The total volume of large Bitcoin transactions surpassed $133.55 billion!”
Bitcoin is trading for $117,770 at time of writing.
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