Dogecoin (CRYPTO: DOGE) slid early this week, erasing a portion of last Friday's gains. However, a pair of chart watchers say a pullback could be brief.

According to analysis from Jake Wujastyk, the meme token is poised for a sharp rise once key levels hold. Meanwhile, fellow analyst Bitcoinsensus has spotted more upside on a detailed pattern.

Chart Pattern Signals Potential Breakout

Wujastyk spotted a descending triangle that began forming after Dogecoin hit $0.26 on May 11. Prices swung between the upper resistance line and a lower support line, gradually tightening the wedge. Earlier, DOGE shot up 8% in a single session, nearly touching the upper trend line.

Now the coin has dipped back into the wedge, but it’s still trading between those two lines. If the pattern breaks upward, it could set the stage for a rapid move higher, according to the analyst. Volume hasn’t spiked yet, so the setup isn’t sealed. But the shape of the chart suggests potential for a breakout.

Analyst Expects 'Two-Fold Rally'

Wujastyk expects a “twofold rally” from current levels, aiming for a push from around $0.21 today to roughly $0.45. That's about a 114% gain. He's confident that there's "no way you won't take a Dogecoin trade" if the chart action holds.

His bullish call comes as the token struggles this week, sliding 7% in one day and flirting with erasing the prior week's gains. Wujastyk's bullish view hinges on a bounce off the wedge's support, followed by a strong push through resistance. If it happens, traders could see stellar, swift gains, he says.

Mixed Targets Highlight Uncertainty

Another analyst, Bitcoinsensus, sees a similar move to above $0.40 but on a slightly different pattern. He points to an inverse head-and-shoulders that formed between March and early May.

The left shoulder came from a March 11 low at $0.14, the head from an April 7 dip to $0.13, and the right shoulder near $0.16 on May 6. After the pattern broke out, DOGE hit a trendline that's capped gains since December's $0.48 high.

Even with a pullback from that supply zone, Bitcoinsensus sees a further push could launch Dogecoin back toward $0.42-$0.43 within seven days. Those targets suggest a 100-104% surge from today's price.See More: Top 5 Crypto Influencers To Follow In 2023

This article was written by Benzinga and edited by Narrative Science for clarity and comprehension.

Photo: Karolina Helmersson on Unsplash