Dogecoin Faces 60% Price Shift as Trading Volume Declines

Dogecoin (DOGE) is on the verge of a significant price movement, with a potential 60% shift in either direction, according to crypto analyst Ali Martinez. Martinez shared a symmetrical triangle chart on X (formerly Twitter) on June 19, indicating that DOGE is currently trading at $0.1701, having experienced a 10.41% drop in the past week and a 23.52% decline over the past month.

The chart, published via TradingView, illustrates DOGE compressing into a tightening wedge, bounded by descending resistance and ascending support. The price is currently near the lower bound of this structure. Martinez emphasizes the key range to monitor: $0.16 to $0.22. A daily close outside of this range, he notes, will likely determine the next major trend direction.

Martinez's analysis suggests that Dogecoin is primed for a substantial price move. He advises waiting for a daily close outside the $0.16 to $0.22 range to confirm the direction of the trend. This technical pattern, known as a symmetrical triangle, typically signals an impending breakout. However, it does not predict the direction; traders must wait for confirmation either above resistance or below support.

Adding to the uncertainty is a notable decline in trading activity. 24-hour volume has fallen, reflecting cautious sentiment and reduced conviction ahead of the anticipated breakout. Despite DOGE’s volatility and meme status, symmetrical triangles have historically produced sharp breakouts in the asset, with previous moves ranging from 40% to 70% following confirmation. A bullish close above $0.22 could target the $0.35–$0.38 zone, while a breakdown below $0.16 might open the door to a retest of $0.13 or lower.

According to the analyst's forecast, the next major trend direction for Dogecoin will be determined by a daily close outside the $0.16 to $0.22 range. This analysis is based on technical indicators and market trends, highlighting the potential for significant gains or losses in the near future. Investors and traders are advised to monitor the price of Dogecoin closely and be prepared for potential volatility.