With its recent price surge, Dogecoin (DOGE), renowned as the leading memecoin, seems to be catching the attention of big investors and institutional players, potentially setting the stage for a substantial 28% increase. This optimistic outlook is driven by the coin’s robust price performance, growing interest from both traders and investors, and increasing backing from influential figures.
Notably, the broader cryptocurrency landscape is currently showing bullish momentum, with major players like Ethereum (ETH), Solana (SOL), and XRP experiencing upward trends. A positive market for altcoins altogether is likely to further support Dogecoin’s bullish trajectory.
Analysis of Dogecoin’s Technical Aspects and Crucial Levels
Following an impressive 150% surge, DOGE has been consolidating over the past two weeks within a defined range. However, this consolidation phase seems to be forming an ascending triangle pattern, as indicated by insights from CryptoCrypto’s technical analysis.
A closer look at historical trends and recent whale involvement suggests that if DOGE manages to breach the upper boundary of the ascending triangle and achieve a daily close above $0.45, it could potentially spike by 28% to reach the $0.58 mark in the near future.
Encouragingly, DOGE seems to be trading above the 200 Exponential Moving Average (EMA) on the daily chart, signaling an upward trend. The 200 EMA serves as a key technical tool for traders and investors to gauge the asset’s trend direction, enabling them to make well-informed decisions based on its price movements.
In addition to technical evaluations, on-chain analysis firms such as IntoTheBlock and Coinglass have reported a substantial participation of whales and traders in the memecoin.
Active Involvement of Whales and Traders
By the end of November, whale transactions had surged by 41%, underscoring their confidence in DOGE’s potential.
Alongside long-term holders, traders have also displayed heightened interest in Dogecoin, with Coinglass reporting a 15% increase in Open Interest (OI) over the last 24 hours and a 7.8% rise in the past four hours. This surge in OI indicates the initiation of new positions as DOGE nears its breakout level.
By combining these on-chain statistics with technical assessments, it appears that bullish sentiments are prevailing in the memecoin arena, potentially paving the way for DOGE to reach its anticipated targets.