A crypto analyst, Trader Tardigrade, has shared a bullish outlook for Dogecoin (DOGE), predicting a potential price surge to $3.69. The forecast was based on an ascending channel pattern that has been forming on Dogecoin’s monthly price chart since 2014.

Dogecoin Price Poised for a Rally, Analyst Suggests

According to the chart analysis shared on X (formerly Twitter), Dogecoin’s price has been following an ascending channel pattern for over a decade. This formation suggests the meme coin is on track to reach new highs. Trader Tardigrade pointed out that DOGE has remained within this channel and could be headed toward the upper boundary, aligning with a price level of $3.69.

More so, the analyst’s projection marks a substantial increase from Dogecoin’s all-time high of $0.74 recorded in May 2021. If the forecast materializes, it would represent a price surge of over 14 times from its current trading value of approximately $0.25. 

Despite skepticism from some traders, revisiting the previous high is seen as a more realistic target. However, historical price movement suggests that DOGE still has the potential for further gains.

Most recently, the analyst highlighted that Dogecoin price had entered the “accumulation zone.” This phase typically represents a period where investors accumulate the asset before a potential breakout. Historical price movements suggest that DOGE has experienced major surges following similar accumulation phases, reinforcing the possibility of a future rally.

Elon Musk’s D.O.G.E. Initiative Increases Visibility

Dogecoin continues to gain attention due to its association with Tesla CEO Elon Musk. Recently, Musk introduced a new non-governmental initiative, the Department of Government Efficiency (D.O.G.E.), to control government spending. The name and branding of this initiative directly reference the top meme coin, strengthening its visibility in the market.

The official website for D.O.G.E. features the Dogecoin logo, reinforcing speculation that Musk remains supportive of the asset. Over the years, Musk’s endorsement has contributed to major price movements in DOGE. 

According to a recent report, DOGE price could hit a 900% surge if historical trends repeat, as suggested by top analyst Ali Martinez. If Elon Musk’s DOGE-related advancements continue to gain traction and a potential DOGE ETF materializes, the meme coin could rally.

Institutional Demand for Dogecoin ETFs

Beyond community interest and Musk’s influence, institutional investment could play a crucial role in Dogecoin price movement. Several asset management firms, including REX Advisers, Osprey Funds, Bitwise, and Grayscale, have applied for Dogecoin-based exchange-traded funds (ETFs).

These investment products aim to provide institutional exposure to Dogecoin, potentially increasing demand.

According to analysts, if approved, the first DOGE ETF could launch as early as April 2025. The introduction of such financial products could attract institutional capital, increasing liquidity and reducing volatility in the Dogecoin market. ETF approvals have previously fueled price surges in other cryptos, and a similar outcome could be expected for DOGE.

Currently, Dogecoin is trading around $0.25, significantly below its historical peak. Analysts believe this price range represents an opportunity zone where accumulation could occur before the next major rally. 

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Ronny Mugendi

Ronny Mugendi is a seasoned crypto journalist with four years of professional experience, having contributed significantly to various media outlets on cryptocurrency trends and technologies. With over 4000 published articles across various media outlets, he aims to inform, educate and introduce more people to the Blockchain and DeFi world. Outside of his journalism career, Ronny enjoys the thrill of bike riding, exploring new trails and landscapes.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.