Dogecoin Surges Beyond Bull Pennant—What’s the Next Target?

An analyst has indicated that Dogecoin appears to be breaking out of a Bull Pennant pattern. The following details outline potential price targets based on this formation.

Dogecoin Experiences Surge Beyond Bull Pennant Resistance

Recently, analyst Ali Martinez shared insights on X regarding a pattern developing in Dogecoin’s hourly price action. This pattern is recognized as a “Bull Pennant,” a concept within technical analysis (TA). A Bull Pennant emerges when an asset’s price consolidates between two converging trendlines following a significant movement, with the initial rapid increase referred to as the ‘pole’ and the subsequent consolidation termed the ‘pennant.’

This structure resembles Flag patterns, with the primary distinction being that Flags are characterized by parallel consolidation channels instead of triangular ones. Similar to various consolidation patterns within TA, price movements trapped within the pennant face resistance at the upper boundary and support at the lower one.

Pennants are typically seen as continuation patterns, making it more likely that a breakout will occur in the same direction as the preceding momentum (i.e., the same orientation as the pole). When the pole ascends, the resulting formation is considered a Bull Pennant; conversely, a decline produces a Bear Pennant.

The analyst provided a chart illustrating the potential Bull Pennant in Dogecoin’s one-hour pricing recently:

The chart indicates that Dogecoin was previously consolidating toward the downside within this Bull Pennant but has since rallied, breaking above the upper resistance line.

Currently, the memecoin has yet to achieve significant distance over this line, leaving the validity of the breakout uncertain. If this does indeed represent a true breakout and aligns with the Bull Pennant formation, DOGE could see a rally comparable to the initial movement indicated by the pole.

Based on the length of the pole within this Bull Pennant, the breakout target is estimated at around $0.31. Should the memecoin reach this level, it would represent an increase of nearly 30% from its present value.

Future developments in Dogecoin’s price will determine if its trajectory mirrors that suggested by the pattern.

DOGE Price

Currently, Dogecoin is trading at approximately $0.239, reflecting a 6% increase over the past week.