Dogecoin Price Surge Ahead? $0.28 Resistance and What’s Next for DOGE
Dogecoin Price Surge Ahead? Despite the ongoing market uncertainty and a general decline in asset prices, Dogecoin (DOGE), the largest memecoin, has gained significant attention. On February 16, on-chain analytics from Coinglass revealed that investors and intraday traders were notably bullish on DOGE, highlighting an increasing level of enthusiasm for the asset.
$18 Million Outflow from Cryptocurrency Exchanges
A report from Spot Inflow/Outflow analysis indicated a significant $18 million worth of DOGE has left cryptocurrency exchanges. This outflow is considered a potential sign of accumulation by traders, suggesting an increase in demand for DOGE, which could eventually lead to buying pressure on the market.
Strong Bullish Sentiment from Traders
The trader sentiment surrounding Dogecoin remains strong, with 76% of DOGE traders on Binance holding long positions as of the latest data. The long/short ratio for DOGE/USDT stood at 3.15, meaning for every 3.15 long positions, there was only one short position. This indicates an overwhelmingly bullish sentiment among traders, especially those making intraday trades.
Price Momentum and Market Participation
Despite these positive on-chain indicators, DOGE’s price has yet to reflect the bullish sentiment. Currently trading near $0.26, DOGE has experienced a 3.5% decline in price over the last 24 hours. In addition, its trading volume dropped by 45%, pointing to reduced market participation compared to previous days.
Technical Analysis and Key Levels for DOGE
According to AMBCrypto’s technical analysis, DOGE has been trading within the golden Fibonacci zone between the 50% and 61.8% levels on the daily time frame. This has led to a generally positive outlook from investors, as these levels are often seen as optimal for entering long positions. However, the $0.28 resistance level has remained a significant hurdle, preventing DOGE from making further gains.
Despite this, DOGE remains above the 200 Exponential Moving Average (EMA) on both the weekly and daily time frames, signaling that the asset is currently in an uptrend. If DOGE successfully breaks the $0.28 resistance and closes a daily candle above this level, there is a strong possibility it could see a 35% increase, potentially reaching $0.39 in the coming days.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
Leave a comment