Peter Brandt Spotlights Bitcoin and Dogecoin Correlation

U.Today - Legendary trader Peter Brandt is likely turning into a Dogecoin (DOGE) fan, considering his latest charts for the meme coin. Taking to X, Brandt spotlighted a historical chart correlation between Bitcoin (BTC) and the meme coin dating back to 2015-2016. In the chart shared by the veteran chartist, the asset's price might be getting started with its bullish rally.

Dogecoin in cool-off phase before rideThe broader market is likely experiencing some form of bearish consolidation. Dogecoin is included in this receding price move, as it has shed some of its gains overnight. As of writing, the price of Dogecoin has dropped by 9.15% in 24 hours to $0.3787. This cool-off comes after the coin crossed the $0.4 resistance level for the first time since June 2021.

To Peter Brandt, Dogecoin is exhibiting a blow-off top but with a visible correction through the falling wedge pattern. The coin also exhibits a double bottom with a complex correction following the completion of this pattern.

The veteran trader said DOGE is in the part of the life cycle where BTC was in May 2016. Notably, Brandt confirmed that a similar chart in the spring of 2016 is what first made him a major Bitcoin investor. While there are many DOGE whales, it remains unclear whether Peter Brandt holds or plans to buy Dogecoin at this point.

DOGE to $1 imminent?With the massive rally in the past few days, whether or not DOGE has scored its market cycle top remains to be seen. Many analysts consider this ongoing price slump a healthy correction that might further propel Dogecoin to a new high.

Brandt noted that the coin’s growth has a somewhat strong correlation with that of Bitcoin. After a massive rally over the past week, BTC has also been cooling off, and in the midterm, it may return to its uptrend and drag DOGE along with it.

Source: Investing.com