Dogecoin Falls Below $0.30: Is a Rebound on the Horizon?

Dogecoin (DOGE) is going through a period of instability. The memecoin is losing ground and has dropped below $0.30. This brutal decline reignites uncertainty among investors as selling pressure intensifies. However, some analysts see this as a simple technical pullback, necessary before a new leap to unprecedented heights. Trader Tardigrade and DOGECAPITAL, influential figures in the market, believe that this correction fits into a larger bullish cycle, already observed in the past. In 2016 and 2021, Dogecoin experienced similar declines before soaring by 9,222 % and 30,693 %, respectively. If history repeats itself, DOGE could soon embark on a spectacular rally. But is this scenario really credible?

Corrections, a Constant in the Dogecoin Cycle

For several days now, Dogecoin (DOGE) has been experiencing a marked retracement phase and is losing ground. It has fallen below the $0.30 mark to reach a key support level at $0.25. This decline fits into a broader climate of correction in the crypto market, where all assets are undergoing increased selling pressure. The rise in volatility has triggered a wave of liquidations, forcing many investors to offload their positions, thus exacerbating the price decline.

While this drop raises concerns, some observers believe that it actually fits into a well-known bullish cycle. Trader Tardigrade, an expert in technical analysis, emphasizes that DOGE has already gone through similar correction phases before exploding upward. “No need to worry about the current correction; it’s a necessary step for DOGE before its next surge,” he stated in a post on X (formerly Twitter) on February 3, 2025. He recalls that in 2016 and 2021, Dogecoin endured retracements of 59.76 % and 56.2 %, respectively, before seeing its price soar by 9,222 % and 30,693 %.

In his view, this cyclical pattern repeats invariably, marking a consolidation period before a major bullish impulse. According to him, as long as current support levels hold, DOGE could initiate a rally much more powerful than those of previous cycles. The question remains whether history will repeat itself or if other factors will disrupt this dynamic.

Factors That Could Propel DOGE to New Heights

If the historical pattern repeats, Dogecoin could regain its previous highs, but also set new records. This hypothesis relies on several technical and fundamental signals suggesting an imminent rebound.

According to DOGECAPITAL, an influential analyst, the ongoing correction resembles those observed during previous bullish cycles. Thus, in a post on X (formerly Twitter) on February 3, 2025, he estimates that Dogecoin could aim for a range of $1.50 to $2.10 in the short term. He believes that this level would represent the next major resistance zone, a key threshold that could determine the token’s future trajectory. Drawing on the history of cycles, he considers that this empowerment fits into a broader trend, which could lead to an even more pronounced breakthrough.

In addition to chart analysis, fundamental elements could accelerate this bullish dynamic. The prospect of a Spot Dogecoin ETF fuels speculation and could mark a major turning point for the asset. If this investment product were to be approved, it would open access to institutional investors, thus reinforcing DOGE’s credibility in traditional markets. Furthermore, the development of the Department of Government Efficiency (D.O.G.E), an initiative aimed at integrating blockchain into public administration, could also stimulate token adoption.

If these factors materialize, the enthusiasm around Dogecoin could reach a new level. An influx of investors could create a snowball effect, strengthening demand and pushing prices to new heights. However, the question remains: will this bullish dynamic prevail against market uncertainties?

As Dogecoin finds itself in a zone of uncertainty, the market is closely watching the buyers’ reactions. If the support at $0.25 holds and interest in the crypto revives, a new bullish phase could begin. Investors remain divided: some view this correction as a buying opportunity, while others fear a slowing of the cycle. With catalysts such as the rumor of a Dogecoin Spot ETF and the D.O.G.E initiative, the token’s future will depend on market dynamics, other cryptocurrencies—especially Bitcoin—and investor confidence, bolstered by the U.S. offensive at the February 4 conference. Is Dogecoin about to repeat its historical pattern, or will the cycle take an unexpected turn this time?