Dogecoin (DOGE) Mirroring Bitcoin Bullish Path; Ethereum (ETH) Eyes Promising Breakout

January 16, 2025

Yesterday, news broke out that there will be weekly livestreams featuring Elon Musk and Vivek Ramaswamy, where they discuss recent developments in the Department of Energy (D.O.G.E.). Of course, almost immediately, tokens on both Ethereum and Solana's ecosystem were created with the same name. We will be focusing mostly on the one on Ethereum since in this ecosystem there are more PolitFi traders who can drive the price up. Is Dogecast the Next Big Meme Coin? Current market cap of Dogecast on this network is around $7 million and this could potentially go much higher, especially when Elon starts tweeting about it. He actually already confirmed 2 days ago that there will be weekly updates about DOGE. However, he still needs to use the actual word "Dogecast" and this could go bananas. https://twitter.com/DogecastETH/status/1857685094166667413 A lot will also depend on how frequently Elon discusses this topic and when the podcast actually launches. According to reports, it's starting "soon," and once the official date is announced, it could potentially benefit the price as traders will have a specific date to focus on. This kind of concrete timeline often creates anticipation in the market. Of course, note that this is a new meme coin that relies mostly only on a narrative that could be hot in the upcoming days but it also depends on their CTO and team. If they decide to rug pull, it can easily go to 0. However, if they don't do that and narrative stays hot, we are potentially looking at $50 million market cap or even $100+. Remains to be seen in any case.

Many cryptos are showing renewed vigor as Bitcoin continues to recover. This positive sentiment has rippled through the crypto ecosystem. It has pushed many crypto assets into the green zone, rekindling an optimistic market outlook.

According to the latest Rekt Capital Newsletter, several altcoins are now displaying promising bullish patterns. The list also includes Dogecoin and Ethereum.

What you'll learn 👉

Dogecoin’s Bull Flag Formation

Following Bitcoin’s lead, Dogecoin (DOGE) is currently in the process of forming a Monthly Bull Flag pattern. While this development trails behind Bitcoin’s progress, it represents a potentially significant technical setup.

Bitcoin has already successfully broken out of its own flag pattern, though it needs to maintain its position above the flag’s upper boundary until the month’s end for confirmation.

Should Bitcoin maintain its current momentum, Dogecoin is expected to gather strength within its flagging pattern. This could lead to a breakout that mirrors Bitcoin’s trajectory. This lagged correlation between DOGE and BTC suggests a possible upcoming rally for the popular meme cryptocurrency.

Ethereum’s Inverse Head & Shoulders Development

Ethereum technical picture shows the formation of an inverse Head & Shoulders pattern. The recent price action has seen ETH successfully test the crucial $3,000 psychological level, which serves as the foundation for the pattern’s right shoulder.

This price movement is particularly noteworthy as it represents a precise retest of the Left Shoulder’s base as support. The symmetry in the pattern’s formation is especially encouraging, with both shoulders sharing the $3,000 level as their base.

While the right shoulder continues to develop, the balanced structure of these formations suggests a well-defined technical setup that could precede a significant move higher. A final breakout from this level could trigger a major move for ETH price

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