Crypto analyst Trader Tardigrade has recently brought attention to an intriguing development in the price movement of Dogecoin, the popular meme cryptocurrency. According to Tardigrade’s technical analysis, Dogecoin is currently in a manipulation phase and is following a pattern known as the Power of Three (PO3), which typically precedes a strong bullish wave.
The Power of Three pattern is a significant price pattern in technical analysis that consists of three key phases: Accumulation, Manipulation, and Distribution. These phases collectively define market cycles and often lead to a strong upward movement in price. In the case of Dogecoin, the cryptocurrency has been on a downtrend since the second week of December, with notable corrections causing it to drop below the $0.30 threshold.
Tardigrade pointed out that this decline is part of the Power of Three pattern, indicating that a price surge may be imminent. Using the daily candlestick timeframe chart, Tardigrade noted that Dogecoin’s accumulation phase lasted from early November to mid-December, following a surge in October and November. During this period, Dogecoin’s price consolidated within a narrow range, signaling subdued activity but significant buying interest.
However, in the past two weeks, Dogecoin has entered the manipulation phase, marked by increased volatility and a sharp downward move on December 20 that briefly saw the price fall to $0.267. Despite this, Tardigrade believes that this phase could be a precursor to the final and most explosive stage of the pattern, the distribution phase.
The distribution phase of the Power of Three pattern is expected to propel Dogecoin’s price to new all-time highs, potentially surpassing its current high of $0.7316. Tardigrade predicted that Dogecoin could reach as high as $0.95 during this phase, representing a significant increase from its current price of $0.332.
At the time of writing, Dogecoin has rebounded by about 3.5% in the past 24 hours, trading at $0.332. Tardigrade’s prediction aligns with broader market expectations for Dogecoin, with many investors and analysts anticipating a break above $1. While the $0.95 target falls just short of this milestone, it indicates a strong bullish sentiment surrounding Dogecoin.
Looking ahead, Tardigrade pinpointed the first two weeks of 2025 as the likely period for this bullish move to materialize. If Dogecoin does indeed reach the $0.95 target, it would represent an increase of approximately 186% from its current price, highlighting the potential for significant gains in the cryptocurrency market.