Dogecoin at Risk of Rejection Even if Bitcoin Surges, Says Crypto Strategist
- Analyst are divided on what the future holds for Dogecoin with bull-bear scenario showcased.
- While CrediBULL Crypto sees a bearish twist ahead, Ali Martinez projects an uptick.
Popular crypto strategist CrediBULL Crypto has warned that a potential rejection is on the horizon for Dogecoin (DOGE) even if Bitcoin’s price rises. The crypto strategist’s remarks follow a notable decline in the price of DOGE and BTC within the past week.
How DOGE Could Face Potential Rejection
Using Bitcoin as a major influence for DOGE, CrediBULL Crypto highlighted two main ways the price of DOGE may be rejected and face potential decline. Firstly, the crypto strategists hint that DOGE could face rejection if Bitcoin’s price tries to go up, but fails and falls instead. This perspective is based on the fact that Bitcoin’s price movement typically influences the entire crypto market.
Right so two main ways something like $DOGE would reject and bleed down.
1. BTC rejects and bleeds down.
2. BTC prints an absolutely chad of an impulse candle which is so big and strong that the collective attention of the space shifts to $BTC for a period of time and liquidity… https://t.co/2unu4uEv8i— CrediBULL Crypto (@CredibleCrypto) May 27, 2024
The second scenario described by the analyst is a situation where Bitcoin’s price makes a strong upward movement. He believes this strong move would grab attention in the crypto market. As a result, investors might see this as a sign to move their money out of other cryptocurrencies like DOGE, and into Bitcoin.
Notably, this money movement out of altcoins is known as liquidity drain. With less money flowing into DOGE, its price could go down, according to CrediBULL Crypto. He believes Bitcoin might not revisit lower prices below the $62,000 and $63,000 range, suggesting bullishness for the cryptocurrency. Therefore, the crypto strategist thinks scenario 2, where Bitcoin’s strong momentum attracts investment away from altcoins, is more likely.
Despite this view, Credible Crypto acknowledges that some altcoins might be exceptions and not necessarily follow this trend. At the same time, some altcoins might be more affected by this liquidity drain than others.
Bullish Sentiments for DOGE
Meanwhile, another popular crypto expert, Ali Martinez also closely monitors DOGE. Martinez claims that although Dogecoin is up against strong resistance, a 100% increase in value is possible if DOGE bulls break through the $0.171 zone.
In a more bullish forecast, Crypto trader and analyst, Mags, anticipates a 700% increase for DOGE, this cycle. As Crypto News Flash detailed earlier, Mags projects a price target of over $1. At the time, this prediction was supported by a revival in Dogecoin’s on-chain metrics suggesting a bullish outlook.
Another bold forecast to note was from crypto analyst Toblerone with over 43,000 followers on social media platform X. As formerly reported by Crypto News Flash, the analyst projects that DOGE could see its price get to over $2 in a positive scenario. Whether these predictions hold in the future will be determined by other factors such as investors’ sentiments and recovery in the crypto market.
In the meantime, DOGE is trading at $0.1582, down by 3.9% in the past 24 hours. The trading volume also declined by 12.6% to $1.4 billion, while the market cap stands at $22.9 billion.
