A closely followed crypto strategist believes that top memecoin Dogecoin (DOGE) will officially cross into bull market territory if it manages to clear two resistance levels.
Analyst Ali Martinez tells his 31,200 followers on the social media platform X that DOGE is trading within a large triangle pattern.
[adinserter block="1"]According to the trader, DOGE could potentially print a new all-time high if it convincingly breaks out of the technical formation.
“Dogecoin is approaching the apex of this multi-year descending triangle formation.
A weekly candlestick close above $0.0835 could trigger the beginning of a new DOGE bull run, potentially toward $1. Yet, we must watch out for the $0.0482 support, as any sign of weakness around this level could lead to a new yearly low.”
Looking at the trader’s chart, it appears that the analyst sees two key resistances for DOGE. The first one appears to be the multi-year diagonal resistance of the triangle and the second one seems to be horizontal resistance at $0.083.
At time of writing, DOGE is trading for $0.059, down over 91% from its all-time high of $0.731 which it hit in May 2021.
Looking at the top crypto asset by market cap, the trader says he’s keeping a close watch on Bitcoin’s (BTC) realized price warm supply metric, which tracks the average buying price of all the coins that have not moved for a week to six months.
According to Martinez, a new bull run will take shape for BTC if it moves above the on-chain metric’s current value.
“Bitcoin warm supply realized price indicator suggests that the bull run will only reignite if BTC secures a sustained close above $28,233!”
At time of writing, Bitcoin is trading for $26,932.
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