Dogecoin (DOGE), the seventh biggest crypto by market cap, has experienced a significant rally, surging from $0.15 to $0.43 within days, marking its highest level in over three years.

The DOGE price hit $0.4761 earlier in the month as the market rallied, with anticipation building for new peaks.

This boosted the confidence of some traders who went long on DOGE. However, price fluctuations have impacted projections. The meme coin has struggled to rebound after falling below the $0.3780 price.

The rally was further fueled by a statement from the Department of Government Efficiency, which referenced “DOGE,” sparking market excitement.

However, after reaching a high of $0.44 on Nov. 12, DOGE corrected by 22% to $0.34 within hours. Since then, it has traded within a range of $0.34 to $0.44 as momentum slows.

Elon Musk lawsuit

The 2022 class-action lawsuit accusing Elon Musk and Tesla of manipulating Dogecoin (DOGE) prices has been withdrawn by the plaintiffs as of Nov. 14, 2024. The investors had alleged that Musk and Tesla engaged in a “crypto pyramid scheme” to inflate DOGE’s value, seeking $258 billion in damages.

In the legal filing, the plaintiffs agreed to withdraw their appeal from the Second Circuit Court of Appeals and waived their right to pursue any further post-judgment relief. Both sides have also agreed to drop motions for sanctions related to the case. However, the withdrawal must still receive formal approval from U.S. District Judge Alvin K. Hellerstein for the litigation to be officially concluded.

The lawsuit was centered on claims that Musk manipulated DOGE prices through media appearances and social media posts.

DOGE price prediction

Dogecoin is still nursing its long-term ambition to hit the $1 price mark. In its outlook for the crypto market in 2025, Mike Novogratz’s Galaxy Research said Dogecoin will finally touch the price mark.

The firm highlighted how the meme coin will benefit from the Elon Musk Department of Government Efficiency (D.O.G.E). Amid the growing push for new crypto ETF products, there are growing speculations that a Dogecoin ETF may also be filed soon.

Dogecoin (DOGE) has recently experienced significant bullish momentum, highlighted by a golden cross — a technical pattern where the 50-day moving average crosses above the 200-day moving average.

Historically, this formation signals strong upward trends and has often preceded major price rallies. DOGE’s price has surged, breaking through resistance levels at $0.22 and $0.30, with rising trading volumes further validating this momentum.

Dogecoin (DOGE) is currently exhibiting signs of being oversold based on Bollinger Bands analysis. The price has dropped below the lower band on all time frames, including the critical daily chart.

This lower band, representing a 20-day moving average adjusted for volatility, is currently positioned at $0.3576, approximately 3.5% higher than DOGE’s current price.

Such a move outside the lower band often signals that the asset may be oversold, potentially setting the stage for a reversal or corrective bounce as traders reassess its value. However, sustained pressure below this level could also indicate persistent bearish sentiment, necessitating caution.

DOGE appears to be stabilizing at its current price levels, offering some hope for recovery as the Relative Strength Index (RSI) suggests potential improvement. However, DOGE remains below its 50-day exponential moving average (EMA) at approximately $0.36, highlighting continued struggles to regain bullish momentum.

Earlier this month, the breakout from its ascending channel shifted to a descending price structure, intensifying bearish sentiment.

Veteran trader Peter Brandt noted DOGE’s adherence to classical charting principles. He highlighted a similarity between its current price action and a pattern observed in 2020, where a sideways accumulation phase evolved into an inverse head-and-shoulders (H&S) formation.

This same pattern in 2024 has contributed to DOGE’s massive 190% rally. Brandt’s analysis underscores the technical strength behind Dogecoin’s recent performance, suggesting the potential for sustained bullish trends.