Dogecoin Price Forecast: Bullish Setup Could Trigger Major Rally

Dogecoin, the original meme coin, might be gearing up for a major breakout according to one crypto analyst. A combination of global political developments and technical signals has aligned to form what some believe could be a textbook bullish setup.

The Technical Setup

Independent chartist Maelius shared his analysis of Dogecoin’s weekly chart, pointing to a spring-loaded wave structure that typically precedes a big move. The price recently bounced perfectly from a long-term support zone, which also happens to intersect with the two hundred-week exponential moving average.

This bounce, forming a clean reversal candle, could be the ignition point for a powerful upward leg.

Ceasefire Triggers Momentum Shift

The news of a ceasefire between Iran and Israel, brokered by the United States, added to the optimism. Market sentiment shifted rapidly, and Dogecoin responded with a seventeen percent rally from recent lows.

The analyst suggests this could be the beginning of a larger third wave rally in an Elliott Wave pattern, potentially sending Dogecoin toward levels above one dollar.

What to Watch Next

According to the chart, a move above the zero point twenty-one level could confirm the bullish thesis. Short-term resistance remains around the zero point seventeen to zero point nineteen area, but if that breaks, momentum could pick up fast.

For now, traders are watching closely to see whether Dogecoin holds above key trend lines. If so, a significant rally could be just around the corner.