The Dogecoin Relative Strength Index (RSI) is said to have entered historical oversold levels. This has raised the possibility that the foremost meme coin could repeat its parabolic rally in the 2021 bull cycle. 

Dogecoin Eyes Parabolic Rally As RSI Enters Oversold Levels

Crypto analyst Cryptollica has indicated that the Dogecoin price could record another parabolic rally as the RSI enters oversold levels. In an X post, the analyst noted that this is the fourth time in 12 years that the DOGE RSI has been this oversold, and that every time this has happened, it has been life-changing. 

Cryptollica further remarked that the drop in Dogecoin’s RSI to this low has always been an “epic buying opportunity” and that those who loaded up made insane gains. In line with this, the analyst remarked that this is another massive opportunity. Meanwhile, Cryptollica alluded to previous times when the RSI dropped this low, including during the last cycle bottom, when DOGE dropped to $0.5. 

Dogecoin rallied to a new all-time high (ATH) of $0.74 after bottoming at $0.05, recording massive gains in the process. Cryptollica noted that these setups don’t come often and urged market participants not to miss this one. His accompanying chart suggested that DOGE could rally to the psychological $1 level this time around, marking a new ATH for the foremost meme coin. 

DOGE Mirroring Past Accumulation Pattern

In another X post, Cryptollica highlighted a similar DOGE/BTC pattern between the 2014-2017 and 2021-2026 accumulations. The analyst stated that the structure is identical and assured that the bleed against Bitcoin is not “death” but the necessary energy compression before the rotation. Cryptollica added that when the green line breaks, risk appetite changes instantly. 

Meanwhile, Cryptollica declared that the fractal was loading, with Dogecoin set to be the heartbeat of the altcoin cycle. The analyst claimed that this is the final stage of a multi-year compression against Bitcoin. This historically leads to a specific volatility squeeze that precedes a massive capital rotation from BTC to altcoins. 

Crypto analyst Bitcoinsensus raised the possibility of a Dogecoin rally to $0.70, which could be near. This came as the analyst noted that DOGE has been moving in a nice way up throughout this entire bull cycle. This is said to be evident in the mini cycles, with the foremost meme coin tapping the dotted line, followed by a slow retrace. Based on this pattern, Bitcoinensus noted that DOGE could soon target the $0.70 range if the strong momentum in the crypto market returns. 

At the time of writing, the Dogecoin price is trading at around $0.137, down in the last 24 hours, according to data from CoinMarketCap.

Crypto analyst Trader Tardigrade has revealed that the Dogecoin price is following a bullish signal, which could lead to a rally above the $0.15 level. This comes as the crypto market rebounds, with Bitcoin rallying to a new yearly above $97,000. 

Dogecoin Price Eyes Rally Above $0.15 With This Bullish Signal

In an X post, Trader Tardigrade hinted that the Dogecoin price could rally above $0.15 after rebounding from the Kumo support, which was exactly what the bullish signal flagged. The rebound comes amid the broader crypto market rally, with major crypto assets also recording significant gains as Bitcoin rallies above $97,000, with the psychological $100,000 level now in sight. 

In another X post, Trader Tardigrade revealed that the Dogecoin price has formed a bull flag on the weekly chart and is now targeting the $0.195 price level. This will bring the leading meme coin close to the psychological $0.2 level, with a break above it paving the way for new local highs. 

Crypto analyst Crypto Tony highlighted the $0.154 level as being critical for the next leg up for the Dogecoin price. His accompanying chart showed that reclaiming this level would spark a rally above $0.16. One factor that could contribute to this bullish run for the foremost meme coin is renewed inflows into the Dogecoin ETFs. 

SoSoValue data shows that these Dogecoin ETFs still recorded zero flows on January 14 despite the rebound in the Dogecoin price. However, this could change soon, as these funds notably saw increased demand at the start of the year, when DOGE rallied to as high as $0.15, making it one of the best-performing crypto assets among the top 10 coins by market cap. 

What’s Next For DOGE As It Targets New Highs

In an X post, crypto analyst Kevin Capital stated that a successful retest followed by a new local high will be further evidence that the corrective phase for the Dogecoin price has ended. This came as he noted that DOGE, like BTC and many other altcoins, has since come back and successfully tested its key 4-hour MAs after breaking out of them, attempting to end its major corrective phase. The analyst added that a new high would be a break of $0.157. 

Meanwhile, crypto analyst Bitcoinsensus has suggested that the Dogecoin price could rally to as high as $4.5 if DOGE is repeating its macro cycle pattern. The analyst noted that so far this cycle, the meme coin has maintained its ground and has mainly been moving sideways. As such, it remains to be seen if this cycle can be as explosive as the last ones.  

At the time of writing, the Dogecoin price is trading at around $0.143, down in the last 24 hours, according to data from CoinMarketCap.