- Analysts have predicted that Dogecoin will break $1, which is based on historical data.
- DOGE has been holding off on the DOGE halving since 2015 and is banking on the BTC halving.
- Despite the consolidation, most liquidations occurred in long positions.
Dogecoin (DOGE) is potentially preparing for a massive move north, according to cryptocurrency analysts who are leaning on historical price data after the halving. Derived from Bitcoin (BTC) code by Billy Markus, aka Shibetoshi Nakamoto, and Jackson Palmer in 2013, Dogecoin’s halving up until 2015 had a huge impact.
However, the periodic DOGE halving stopped in 2015, as the meme coin became more of a spending currency than a deflationary store of value. Since Dogecoin was first launched in 2013, halvings have occurred every 100,000 blocks or every 69 days. Since then, DOGE’s price increases have followed Bitcoin halvings.
Could Bitcoin Halving Push DOGE Beyond $1?
Based on the price action of Dogecoin immediately following the July 2016 and June 2020 Bitcoin halving cycles, a delayed surge was evident in each case, argues macro-contrarian crypto analyst MikyBull. In 2017, more than half a year after BTC’s mining rewards were halved, DOGE surged from $0.00022125 to $0.0095 during the initial halving.
The 2020 Bitcoin halving paved the way for DOGE’s current all-time high, which soared to $0.7316 on May 8, 2021. Technical chart analyst MikyBull expects a similar price rally for DOGE after Bitcoin’s latest halving. On April 20, 2024, BTC’s block reward was slashed from 6.26 BTC to 3.125 BTC.
The technical pattern of Dogecoin, which is expected to rise to $1.10, is not the only factor behind the analyst’s bullish prediction. DOGE has not found the strength to take the support cluster above $0.22 this year, but it is clear that big investors still believe in the original meme coin.
Yesterday, large whales accumulated 60 million DOGE tokens, and the price bounced back to the high of $0.12. This has given the DOGE Army some optimism, but the derivatives market remains bearish. This is because speculators are choosing to short DOGE more often than taking leveraged long positions. With a long-to-short ratio of 0.9227, the DOGE bulls have been hit hardest in the derivatives market, accounting for $1.86 million of the $2.08 million liquidations in the last 24 hours.
On the other side
- According to today According to consensus, Dogecoin’s block reward is 10,000 DOGE per block.
- Due to the 1 minute block time, a whopping 14.4 million DOGE coins are circulated every day.
Why this matters
Dogecoin has much stronger market liquidity than other meme coins, thanks to its long-term status as one of the top 10 cryptocurrencies by global market cap.
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