- Dogecoin price has shot up 27% in the last 24 hours; up by 130% in the past eight days
- This massive upswing could see DOGE tag the $0.279 resistance next.
- Investors should be cautious and be ready to buy the dips above the $0.116 support level.
Dogecoin price has shown incredible momentum and continues to climb after the previous week’s 78% rally. Considering the massive volatility surrounding meme coins, this DOGE move is not surprising.
Also read: Week Ahead: Meme coins surge as BTC rally continues
Dogecoin price flies high
Dogecoin (DOGE) price cleared the multi-month declining trend line in October 2023, but the parabolic rally began in February 2024. So far, DOGE has soared by 130% in the past eight days. This massive upswing has shattered the $0.116 and $0.181 weekly resistance levels.
Considering the current outlook of the market where meme coins are ruling the trend, it isn’t surprising for DOGE to have rallied so much. However, the dynamics could change quickly when Bitcoin price sets up a new all-time high.
But until that happens, meme coins are likely going to continue shooting up.
Supporting this massive rally in Dogecoin price is the Relative Strength Index (RSI), which has reached the 85 level for the first time since May 2021. The green Awesome Oscillator (AO) histograms above the zero line also suggest a burst of bullish momentum, supporting this uptrend.
Read more: Memecoins market capitalization exceeds $50 billion, above NFTs, DeFi sector
DOGE/USDT 1-week chart
According to IntoTheBlock’s Global In/Out of the Money (GIOM) indicator, the next cluster of resistance levels stretches from $0.178 to $0.671. Here, roughly 11 billion DOGE was purchased by 720,000 addresses at an average price of $0.331. Some of these addresses are already at breakeven levels, and others are Out of the Money.
So, investors that have huge unrealized profits could consider booking some around $0.331, where a major chunk of the holders could consider selling their stack at breakeven.
DOGE GIOM
While the outlook for Dogecoin price is bullish, it is unlikely DOGE will turn bearish, especially considering the up-only market conditions that have been prevalent for the past few months. Investors should consider setting up dollar-cost averaging upto the next key support level at $0.116.
However, if Dogecoin price flips the said weekly support level into a resistance level with a weekly candlestick close below it, it would invalidate the bullish thesis for DOGE.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto Today: Bitcoin, Ethereum, XRP gain slightly on Monday, traders prepare for US macro release this week
Bitcoin hovers around the $63,000 level on Monday, almost flat in the day. Ethereum ranges around the psychologically important $2,500 level as creator Vitalik Buterin pledges 100 Ether to support Tornado Cash developer.
Is “Uptober” here for Bitcoin?
Bitcoin stabilizes at around $63,000 on Monday. US spot Bitcoin ETF experienced outflows week-on-week. NYDIG report highlights that Bitcoin remains the best-performing asset this year, with a 49.2% year-to-date gain.
Why Bitget’s exchange token slumped 50% on Monday, what to expect from BGB
Bitget’s exchange platform token BGB suddenly erased 50% of its value on Monday, slipped to a low of $0.5344. The reason behind the slump is currently unknown; the OKX exchange token was in a similar situation in January 2024.
Is Dogecoin ready for a rally?
Dogecoin price finds support around the descending trendline breakout level, eyeing a rally ahead. DOGE’s daily active addresses spiked to the highest level since early April.
Bitcoin: Is BTC sell-off over?
Bitcoin price declined over 6% this week until Friday as the escalation of the conflict between Iran and Israel added fuel to this sell-off. The decline was also supported by falling institutional demand for ETFs. BTC bulls seem to be holding strong at a critical support level.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.