The Dogecoin price has shown a lot of promise recently after surging above the $0.2 mark with momentum over the last week. However, the price does remain very well below its all-time high of $0.7, which means there is still a way to go for the meme coin from here. Interestingly, the meme coin’s price looks to have fallen into a trend not seen since December 2020, as highlighted by crypto analyst CryptoKaleo, showing a rising bullish trend.
Dogecoin Price Returns To Levels Before 36,000% Rally
In an X post, CryptoKaleo outlines the fact that the Dogecoin price has been trending similarly to where it was back in 2020. In particular, the Dogecoin price was struggling in December 2020, but this was just before the legendary 36,000% surge that had been kick-started by billionaire Elon Musk posting about the meme coin on his X (formerly Twitter) post.
Back then, the price had been struggling after its previous all-time high, following a trend line straight down. This was until it hit another upward momentum, followed by a downtrend, which marked the end of the price decline. At this point, the bottom signaled the start of the next rally.
Now, once again, the Dogecoin price is beginning to mark another bottom after an initial breakdown within this trendline. According to the analyst, this puts the Dogecoin price right in the same place where it was back in December 2020.
If it follows the same trend as it has been doing, then the meme coin could be getting ready to see a parabolic rally. From the analyst’s chart, the $1 mark is a no-brainer, with a possible top being as high as $2.4 before the trend is completed.
Can The DOGE Price Rally 36,000% Again?
The last time that the Dogecoin price broke out of this trend, it ended up rallying by 36,000% over the next few months. This opens up the possibility that a similar rally could be in the cards. However, multiple developments over the last few years suggest that this is not possible.
For one, a 36,000% rally from here would mean that the price would rise as high as $72, meaning that the Dogecoin market cap would have to rise above $2 trillion. This is highly unlikely given that the DOGE supply is always rising and remains unlimited. More than likely, the $1 mark would mark the beginning of the end of the Dogecoin price rally.
Featured image from Dall.E, chart from TradingView.com
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