Dogecoin price could rally 20% in July with this bullish reversal pattern
Dogecoin (DOGE) looks ready to extend its rebound move despite the current crypto bear market.
DOGE's price appears to have been painting a "bump-and-run-reversal (BARR) bottom" since May 11, a technical pattern that points to extended trend reversals in a bear market. It consists of three successful phases: Lead-In, Bump, and Run.
The "Lead-In phase" sees the price consolidating inside a narrow, sideways range, showing an interim bias conflict among investors.
That follows the "Bump phase," wherein the price drops and recovers sharply, leading to a price breakout, defined by the "Run phase."
Dogecoin appears to be in the Bump Phase while eyeing a breakout above the BARR bottom's falling trendline resistance. Suppose DOGE breaks above the said price ceiling. Then, as a rule of technical analysis, it would eye a run-up toward the BARR's origin level.
That puts DOGE's price en route to $0.0941, up over 20% from today's price. Notably, the upside target also coincides with the token's 50-week exponential moving average (50-week EMA; the blue line in the chart below).
BARR bottom has met its profit target 79% of all time, according to a report by veteran investor Thomas Bulkowski. Interestingly, the pattern's breakout stage typically yields an average 55% rise, meaning DOGE's potential to hit $0.123 remains on the cards.
Dogecoin's run-up to $0.0941 might not have it escape its bearish trend owing to a flurry of technical and fundamental factors.
From the technical perspective, DOGE's price risks run into a "bull trap" as it trends upward (it has already rallied almost 60% in the last nine days). Notably, the coin's downside bias emerges due to a "rising wedge" pattern on its lower-timeframe charts.
In detail, DOGE has been in an
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