Dogecoin's Technical Analysis Points to $5 Target

Technical analysis by Crypto Patel suggests that Dogecoin's price is on track to reach $5, but only after a potential drop lower into an accumulation zone.

The analyst notes that the current structure of Dogecoin's chart resembles earlier phases in its history, where it has rejected at the upper trendline of a descending channel. This means that the cryptocurrency may need to move lower before reversing and embarking on a significant upside cycle.

According to Crypto Patel, retail traders will sell the bottom, but smart money traders are already setting up for a long-term bullish move. On-chain data supports this notion, showing that whales have been accumulating DOGE in recent days, with their busiest day in six months recorded in early May.