Can DOGE Price Surge 70% After Key Pattern Retest?

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As a seasoned financial analyst with extensive experience in cryptocurrency markets, I have closely monitored Dogecoin’s (DOGE) price action and market sentiment over the past few weeks. Having seen the coin oscillate between support and resistance levels, I am optimistic about its potential for a new bullish phase.

The price of Doge seems to have begun a fresh bullish surge, with buyers aiming to surmount the resistance level at $0.2. As optimism grows, investors are increasingly confident that the market will witness a more pronounced shift in trend.

Based on a thorough analysis of both the technical and fundamental aspects, several influences may shape Dogecoin‘s price trend in the coming month of August. Key among these are the upcoming Federal Open Market Committee (FOMC) meeting this week and the behavior of investors.

DOGE Price Analysis: Is A Rally Possible?

In the initial weeks of July, bulls suffered defeats while defending. However, they eventually took charge, triggering a shift in the market trend starting from support at $0.1.

Dogecoin experienced a sharp increase in value, reaching $0.14, which confirmed a falling wedge chart formation. This pattern typically indicates a potential 70% price surge towards $0.216. However, retesting the upper trendline may provide enticing opportunities for entry into the market.

1. A falling wedge is a bullish reversal chart formation that occurs when the price moves along two gradually converging downward-sloping trendlines, signifying potential price increase following a period of decline.

Can DOGE Price Surge 70% After Key Pattern Retest?

According to information from CoinMarketCap, it seems that the bullish momentum for Dogecoin may have weakened as trading volume declined to approximately $800 million. The digital coin must hold its ground at the current support level formed by the 50-day Exponential Moving Average (EMA) and the 200-day EMA.

1. It’s possible that the resistance level at the top trend line could be tested again, given the current circumstances. Moreover, with the 20-day Exponential Moving Average (EMA) in play, it becomes more likely for the Dogecoin price to rebound and continue its upward movement.

The MACD indicator has recently given a buy signal based on its convergence and divergence trends, indicating an opportunity for traders to purchase during market dips. Nevertheless, buyers need to exert effort in maintaining this call to buy throughout the current week.

How Dogecoin Futures Open Interest May Affect This Week’s Rally

Dogecoin futures interest open market has since last weekend improved to reach above $5 billion.

1. Expanding the number of outstanding futures contracts implies a heightened market fascination. This hints at an increase in traders adopting positions, possibly signaling a robust price direction.

Can DOGE Price Surge 70% After Key Pattern Retest?

Dogecoin traders can utilize optimistic open interest figures to reinforce the current bullish trend while simultaneously detecting possible price reversals if the coin begins to decline.

In the second part of the year, the excitement around meme coins like BOOK OF MEME could lead to a resurgence of Dogecoin’s popularity. Both Dogecoin and its newer counterparts in this sector appear primed to follow Bitcoin‘s price increase as it attempts to reach previous record highs.

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2024-07-29 22:02