Why Dogecoin Could Repeat History And What The Outcome Would Be
Dogecoin is trading under low pressure, struggling to construct sustained upside momentum because of low bullish sentiment in the complete market. The main meme coin has had its worth motion buying and selling across the $0.1 assist, with buyers and sellers locked in a tight battle.
However, crypto analyst Cryptollica has shared a chart that means that Dogecoin may be setting up for the largest déjà-vu in historical past. His evaluation factors to a recurring sample that has appeared a number of instances since 2014, with the present construction following lows in earlier cycles.
The Four-Cycle Pattern
Dogecoin’s weekly timeframe was mapped out from 2014 by way of early 2026 within the weekly candlestick worth chart shared by the analyst. Four separate factors have been marked with circles labeled 1, 2, 3, and 4. Each of those factors corresponds with durations the place Dogecoin entered deeply oversold situations on the Relative Strength Index (RSI), proven within the decrease panel of the chart.
The first circle is projected round 2014-2015, when Dogecoin skilled an prolonged worth decline, and the RSI dipped into oversold territory. That interval was adopted by a robust restoration and ultimately a bigger enlargement part. The second marked zone was in 2020, which additionally coincided with a depressed RSI studying and a horizontal assist area on worth. Shortly after, Dogecoin launched into its historic 2021 rally.
The third occasion is seen round 2022, when the market entered a bear cycle after the earlier bull cycle in 2021. Dogecoin as soon as once more discovered assist close to the same construction and RSI ranges. Now, the fourth circle is projected in early 2026, with the RSI urgent close to the low 30 area, near earlier cycle bottoms. Price can also be sitting around a horizontal support band that beforehand acted as assist again in late 2024.
Cryptollica’s query, “Coincidence or Math?” relies on the symmetry in these repeating constructions. Each time Dogecoin reached comparable oversold situations on the weekly chart, a major transfer adopted.
What A History Repeat Could Mean For Dogecoin
Every time Dogecoin’s weekly RSI fell under the 30 stage, it led to exhaustion in promoting strain. Following these oversold phases, Dogecoin didn’t instantly explode upward. Instead, it shaped a base earlier than starting a sustained climb.
If the fourth marked setup follows earlier cycles, the end result would likely unfold in stages. The first part would contain stabilization across the present assist zone, with volatility step by step compressing between $0.10 and $0.15. This would then be adopted by bullish momentum when market situations lastly enhance, and capital rotates into meme cash.
Based on this outlook, we may see the Dogecoin worth reversing from oversold into regular situation, which in flip can be mirrored in its worth motion, pushing into worth ranges above $0.2 at the very least within the brief time period.
