Dogecoin price has been experiencing some downward momentum last week, especially after the price dipped from a crucial resistance level. However, the crypto is still holding a key horizontal support, which could spark a short-term rebound.

In Sunday’s session, March 30, Doge saw a 0.56% decline, trading at $0.1688 by 09:04 ET. The crypto is now trading at the lower part of the $0.15-$0.21 trading range that it entered last week.

The crypto’s price ranges at the time put it at the weekly lows, and it’s also testing the lower part of a steeper support zone. The good news is that Dogecoin is still holding a key horizontal support at $0.14.

If the price of Dogecoin manages to stay above the $0.14 level, it could bounce to the next support at $205. From there, we could see another leg up for Dogecoin. The next key level to watch on the upside is the resistance at $0.3, which is also attainable in a shorter timeframe.

Taking a more long-term view, charts suggest that a potential for even bigger gains is there. Notably, the weekly Relative Strength Index (RSI) has once again reached oversold levels, for the third time in two years. In the past two instances, this indicator preceded significant price increases.

Moreover, the long-term trendline suggests that if this case holds up, Dogecoin has the potential to reach $1 this year. This would also be the next all-time high for Dogecoin, surpassing the $0.7376 level from May 2021.

However, some traders believe that this is just the start of where Dogecoin can go. Traders have noted that Doge is consistently being traded with a circular pattern on the exponential chart.

Crucially, the recent bottoms in October last year and late March show that the bottom part of the circle acts as a support. If the pattern holds, it puts Dogecoin on a trajectory toward a new all-time high this year, and even beyond $1.

Namely, the arc that is forming again, if it holds, would put Dogecoin at $8 this year, which would mean a 4,259% increase from its current price. However, it’s important to know that this scenario, even if it confirms with historical data, is rather unlikely.

At the price of $8, with the current supply of 148.64 billion tokens, Dogecoin would have a market cap of $1.189 trillion. This would make Dogecoin the second-biggest crypto asset, behind just Bitcoin’s market cap of $1.63 trillion.

Given these projections, it remains important for traders to assess the feasibility and risks associated with such significant growth.