Dogecoin (DOGE) Imitates 2016 and 2021 Patterns, Could See New All-Time High Soon: Ali Martinez

The largest meme coin in terms of market capitalization – Dogecoin (DOGE) – performed quite well in the last week, witnessing a 7% price increase.

Dogecoin (DOGE) price showed signs of weakness this week as it briefly slipped below the crucial $0.12 support level. However, the meme coin quickly recovered, rising back above $0.13 (data from CoinGecko).

Despite the price volatility, one popular X user is convinced that DOGE is setting up for another bull run. Ali Martinez pointed out how the meme coin consolidated in a descending triangle in 2016 and 2021, which was followed by a triple-digit price rally. According to the trader, the pattern is repeating itself, suggesting a massive surge might be on the horizon.

“Dogecoin is playing the same pattern we’ve seen before. It consolidates in a descending triangle, sees a 140% to 230% rally, and retraces by 56% to 60% before entering a bull run. I’m not selling a single coin.”

Martinez’s analysis aligns with the observation of other traders who remain bullish on DOGE. Last month, X user Mags claimed that the meme coin’s accumulation phase was concluding and that it could soon transition into a “parabola” stage, potentially pushing the price above $1.

Meanwhile, KALEO predicted that DOGE has the “secret” ability to trade sideways for long periods, followed by “rapid, vertical growth.” The analyst even suggested that the meme coin could outpace Bitcoin (BTC) in this regard.

This Metric Signals an Uptrend

The DOGE Relative Strength Index (RSI) also seems to be indicating an upcoming rally. The RSI measures the change and speed of price movements, ranging from 0 to 100. A ratio higher than 70 suggests that a correction might be coming soon, while lower points indicate an uptick. At the moment, the RSI is around 50.

notably, the metric was in a similar zone in late March and early April when DOGE’s price rose above $0.22.

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