Dogecoin’s Price Surge Potential: Technicals Vs. Fundamentals

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July 25, 2023 by Ammar Raza

Dogecoin continues to captivate the attention; recently, two prominent analysts, Ali and Salami Ridwan, engaged in a Twitter debate over the potential for a significant price surge in the popular meme-based cryptocurrency.

Analyst Ali took to Twitter and noted an intriguing technical pattern on the monthly chart of Dogecoin. He tweeted, “The last time a descending triangle developed on the monthly chart, DOGE pumped 23,200%! I’ll be looking at a sustained monthly close above $0.80 for confirmation.” This observation raised speculation about a potential bullish trend in the coming months.

However, analyst Salami Ridwanoffereda different perspective on Dogecoin’s price movement. He emphasized that the cryptocurrency’s impressive surges are predominantly influenced by fundamental factors rather than strictly adhering to technical analysis (TA).

$Doge huge pumps are always mostly fundamentals, and not really obeying TA analysis.
What has always being the major catalyst for $Doge is something good about it around or from @elonmusk.
IMO, Breaking out of a descending triangle alone can’t give $Doge a 1,000% if there are…
— Salami Ridwan (@ridwansalami_1) July 24, 2023

According to Salami, the major catalyst for Dogecoin’s notable price movements has consistently been positive developments associated with or originating from influential figures like Tesla CEO Elon Musk.

Salami Ridwan expressed his opinion, stating, “IMO, breaking out of a descending triangle alone can’t give $Doge a 1,000% if there are no strong and serious fundamentals about it. Except for a few percentage gains for Futures players. Just my opinion, though.”

Nevertheless, analysts’ viewpoints are subjective and should be considered along with other factors. The future of Dogecoin, including the possibility of another significant price surge, will ultimately be unveiled with time.

Dogecoin Price Review

The impact of technical patterns and fundamental factors on Dogecoin’s trajectory remains uncertain. Nevertheless, it once again captured significant attention, this time due to a tweet by Tesla’s CEO, Elon Musk. Following Musk’s tweet, the coin experienced a surge in its price, rising from $0.068 to $0.070.

Despite this recent price jump, it’s worth noting that its value is still notably lower than its peak in July, which reached $0.075. In the past week, the coin briefly reached a high of $0.074 but subsequently experienced a partial loss of its gains.

As of the latest data, Dogecoin is currently trading around $0.07361, reflecting a rise of approximately 2.15%, with a notable 7.01% surge in the weekly chart. Additionally, the trading volume has also seen a substantial increase of 178.51%, reaching $829 million.