Dogecoin (DOGE) Starts February with a Sharp 23% Price Drop, Worrying Investors

Historical data suggests that February is often a weak month for DOGE, but some analysts still predict a major rally ahead.

Dogecoin (CRYPTO: DOGE) has started February with a sharp 23% price drop, worrying investors. However, historical data suggests that February is often a weak month for the meme coin.

DOGE's History Suggests A Tough Month Ahead

Data from CryptoRank shows that Dogecoin has seen an average 1% loss in February since its launch in 2013. The meme coin has only managed to close the month with gains four times in the last 12 years.

While DOGE has rarely lost more than 20% in February, the worst drop was in 2014, when it fell over 30%. With the current 23% dip, investors are wondering if a relief bounce is possible to ease the losses.

Some Analysts Still Predict A Major Rally Ahead

Despite the bearish historical trend, several analysts still believe that Dogecoin could be set for a massive rally in 2024. Here's a look at some of the bullish predictions:

Crypto analyst Master Kenobi recently compared Dogecoin's current price action to its 2017 bull run and suggested that the coin could still be set for a 4x surge to over $1 by April. Another analyst, Ali Martinez, remains even more bullish on DOGE. According to him, as long as the meme coin holds support at $0.19, the setup for a parabolic rally toward $10 is still valid. Similarly, Trader Tardigrade pointed to the Average Directional Index (ADX), which measures trend strength, and predicted that DOGE could reach $4.5 in the coming weeks if momentum builds as expected.

DOGE Price Action Now

At the time of writing, Dogecoin is trading at $0.25, down 4% in the last 24 hours, according to data from CoinMarketCap. However, DOGE is still up over 130% year-to-date.

As Dogecoin continues to consolidate in a bear market, it remains to be seen whether historical trends will play out again or if the coin can defy the odds and deliver strong returns in February. Investors will be watching closely in the coming weeks.