Bitcoin News Today: Dogecoin Targets 76% Gain as Bullish Pattern Emerges, Bitcoin Eyes 12% Rally

A closely followed crypto analyst has identified a potential bullish pattern in Dogecoin (DOGE), suggesting that the memecoin could be on the verge of a significant rally. According to the analyst, Dogecoin is forming a double bottom pattern on its daily chart, which could lead to a more than 76% increase from its current value, targeting $0.42. This pattern is significant as it indicates a potential reversal in the downward trend that DOGE has been experiencing.

The analyst further notes that for Dogecoin to maintain its uptrend, it needs to break through a key resistance level at $0.36. This resistance level is based on Dogecoin’s URPD, or UTXO (unspent transaction output) realized price distribution, which tracks the number of existing coins that last moved within a given price range. As of the latest update, DOGE is trading at $0.238, reflecting a 12.5% increase over the past 24 hours.

In addition to Dogecoin, the analyst also provides insights into Bitcoin’s potential price movements. According to the analyst, if Bitcoin can hold $121,000 as support, it could see an increase of more than 12% from its current value, potentially rallying towards $132,000. This prediction is based on a daily close above $121,000, which could pave the way for a significant upward movement. However, Bitcoin is currently facing a key resistance level at $121,500, as indicated by its heatmap of leveraged positions. Traders have been shorting Bitcoin, creating a substantial liquidation wall at this level.

The analyst also highlights that the volume of large Bitcoin transactions has reached a new high over the past three months, signaling market bullishness. This increase in transaction volume suggests that there is significant activity and interest in the Bitcoin market, which could support the potential rally predicted by the analyst. As of the latest update, Bitcoin is trading at $117,770.

The analyst's predictions are based on technical analysis and market trends, providing a potential path forward for both Dogecoin and Bitcoin. However, it is important to note that these predictions are subject to market volatility and should be considered as potential scenarios rather than guaranteed outcomes. Investors are advised to conduct their own research and exercise caution when making high-risk investments in cryptocurrencies.