Dogecoin Price Momentum Oscillator Just Had Its Third Crossover After 2017 and 2021
Dogecoin has yet to recover from last week’s price drop, which saw it fall below $0.3. However, a key technical signal has emerged on the DOGE price chart that could send the meme coin on a bullish trajectory for the rest of the year.
According to crypto analyst KrissPax, who highlighted this key technical signal on the social media platform
Dogecoin Price Momentum Crossover
Dogecoin price technical analysis shows that the Price Momentum Oscillator (PMO), a tool used to measure trend changes and momentum strength, has just made a crossover on the 2-week candlestick timeframe. A PMO crossover occurs when the PMO line crosses above or below its signal line, which is typically a moving average of the PMO.
When the PMO line crosses above the signal line, it suggests that momentum is shifting in favor of the bulls. This phenomenon is particularly significant because it has only happened twice in Dogecoin’s history, in 2017 and 2021. Interestingly, each crossover resulted in interesting price action.
Looking back, Dogecoin’s PMO crossovers have preceded some of its most explosive rallies. The first of these PMO crossovers occurred in 2017, when the market was about to enter its first significant bull market. Following the 2017 crossover, the price of DOGE surged over 6,000% to reach a peak of $0.0175. Similarly, the second crossover occurred just before Dogecoin’s historic 2021 bull market rally. At that point, the meme coin enjoyed a 36,400% run to reach its current all-time high of $0.73 following the bullish crossover.
DOGE’s Next Move: Analyst Targets $4 Price Level
Using history as a reference, KrissPax predicted that Dogecoin’s latest PMO crossover could lead to another significant move higher. Interestingly, the recent PMO crossover had already taken Dogecoin to multi-year highs, but recent corrections have stalled the bullish momentum.
However, many crypto analysts agree that Dogecoin’s recovery will resume any time from now. As such, Krisspax predicted that the four-year cycle of bullish PMO crossovers is still in play, and we could be seeing a major bullish move for DOGE. In terms of price targets, the analyst set a price target of $4.
Reaching the $4 price target would represent an increase of about 4,110% from its 2024 low, which was recorded just before the start of the current market cycle.
At the time of writing, Dogecoin was trading at $0.2619, up 0.18% over the past 24 hours. Reaching the $4 price target would also represent a 1,427% increase from the current price. However, the first step to reaching this $4 price target would be to break and hold above the $0.3 price level again. Successive short-term price resistance levels to watch are $0.4 and finally $0.5.