Bitcoin’s recent price pullback has shifted the spotlight onto an unexpected contender in the crypto landscape: Dogecoin. The DOGE/BTC trading pair is hovering at a significant support zone, raising eyebrows and suggesting the potential for Dogecoin to outperform Bitcoin in the near future.
A trader known as Jimmy, active on the social media platform X, has recently shared insights via a chart that underlines the importance of this support level. His technical analysis indicates that if Dogecoin’s price maintains its position above this support, it could signal a new upward momentum against Bitcoin if the level continues to hold.
DOGE/BTC Is Sitting On Very Strong Support
According to Jimmy’s analysis, the DOGE/BTC pair is currently resting on what he refers to as a “very strong support.” The chart demonstrates that Dogecoin is consolidating at a level that previously preceded significant gains against Bitcoin on the daily candlestick timeframe.
A closer examination reveals that each previous touch of this support level since 2024 has triggered consistent and at times explosive upward moves. This consistent behavior is crucial as it signals the importance of the current retest for future price action.
Among the most notable past performances occurred in mid-2024, when a similar support retest led to a remarkable Dogecoin rally, pushing the pair from approximately 0.00000170 to 0.00000450 before momentum eventually settled.
As it stands, the DOGE/BTC pair is trading around 0.00000170 once again. The downward drift has slowed as the pair touches this key demand region, leaving traders wondering if another rebound is on the horizon.
The ongoing long-term pattern suggests a growing exhaustion among sellers, indicating a potential build-up reminiscent of previous bullish phases. Furthermore, the Relative Strength Index (RSI) is currently within a neutral zone but has started curling upwards from low momentum sections. Should this support hold firm, it may reinforce the notion that Bitcoin’s dominance is waning and that Dogecoin is preparing for a potential rebound against it.
Whales Should “Sell Bitcoin And Buy Dogecoin”
One of the most impactful observations from Jimmy was his assertion that if he were a Bitcoin whale, he would sell Bitcoin and buy DOGE.
Jimmy’s argument focuses on the relative value aspect; the DOGE/BTC ratio is currently among its lowest levels in years, suggesting that Dogecoin is considerably undervalued compared to Bitcoin. If past performances are any indication, Dogecoin could rise from its current support at 0.00000170 and make a strong move against Bitcoin over the coming weeks.
As of now, Dogecoin’s market performance is reflecting the broader sentiments in the cryptocurrency market. At the latest update, Dogecoin is trading at $0.1553, experiencing a downturn of 4.3% within the last 24 hours. The entire crypto market has felt the pressure, with total market capitalization decreasing by 5.1% during the same timeframe.
As traders keep an eye on this evolving situation, the question remains: will Dogecoin seize this opportunity to shine against Bitcoin once more?
