According to Cephii, a crypto analyst on X (formerly Twitter), the current Dogecoin price action mirrors the 2021 election inauguration pattern, signaling a potential price surge to new ATHs on the horizon. Despite declining by more than 10% in one week, the Dogecoin price continues to strengthen amidst bearish conditions.
Dogecoin Price To Repeat Election Inauguration Rally
During the bull cycle in 2021, the Dogecoin price rallied to new ATHs, driven by broader market adoption, political influence, and other bullish factors. Cephii revealed on X that Dogecoin experienced a massive 1,100% pump just one week after the United States (US) Presidential inauguration in 2021. At the time, Dogecoin had eliminated one zero from its price, rising from $0.00684 to $0.0795.
Sharing two parallel charts of this bullish trend pattern, Cephii points out striking similarities between Dogecoin’s current price action and its behaviour in the 2021 bull cycle. The first chart highlights two Moving Averages (MA), with the blue trend line crossing above the red, signaling potential bullish momentum for Dogecoin.
The second chart, depicting Dogecoin’s current cycle, shows the meme coin trading at $0.344 while its resistance and support zones have been indicated through Fibonacci extension and retracement levels. The chart shows that Dogecoin is nearing a critical point at 0.414 Fib, which aligns with the historical resistance above $0.344. The other Fibonacci levels, such as 0.739 and 1.547, which correspond to the $0.7 and $1.4 price points, represent long-term bullish targets for Dogecoin if its upward momentum continues.
Notably, the moving averages in the second chart show a similar pattern of movement. They show a bullish crossover, with the blue MA trendline crossing over the red. This price structure indicates a potential breakout scenario, mimicking the 2021 US Presidential inauguration setup.
With Dogecoin’s price movement tracking historical trends, Cephii has predicted that the meme coin could soon experience an almost identical surge to the one witnessed in the last Presidential inauguration. With Donald Trump set to be inaugurated by January 20, 2025, speculation is brewing that this political event could once again drive a notable rally in the Dogecoin price.
How Trump’s Inauguration Could Affect Dogecoin
Discussions in the crypto community are heating up as analysts predict the outlook of the Dogecoin price after Trump’s US Presidential inauguration on Monday. Reports have revealed that investors are betting on what crypto-related words, like Dogecoin, might be mentioned during the inauguration ceremony.
On the other hand, many believe that this inauguration day could be a historical moment for Dogecoin, fueled by bullish sentiment and the creation of Elon Musk’s Department of Government Efficiency (D.O.G.E). With Musk’s influence, Trump’s support, and the growing enthusiasm surrounding Dogecoin, many hope this event could spark renewed momentum in the meme coin’s price.
Featured image created with Dall.E, chart from Tradingview.com
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