As the price of Bitcoin (BTC) surged to $35,000, sparking a massive rally across the market, the largest memecoin, Dogecoin (DOGE), remained relatively quiet. However, DOGE hinted at a recovery with double-digit gains on Oct. 26, reaching as high as $0.075. Memecoins such as Pepe (PEPE), Floki Inu (FLOKI), Bonk (BONK), and Wall Street Memes (WSM) led the memecoin rally, with price gains of 85%, 65%, 70%, and 20%, respectively, in 2019 last week. The prices of the two largest memecoins, Dogecoin and Shiba Inu (SHIB), also rose, but joined the rally later. So, what’s next for DOGE? Here’s a Dogecoin chart and analysis.
Dogecoin Price Trend: Is $0.1 Doable?
The latest data shows that the price of Dogecoin rose 10% to $0.07489 on October 26. Although DOGE rebounded from the $0.058 support area, indicating the end of the downtrend, the largest memecoin lacks the momentum to break through the downtrend line that has lasted for months. The 200-day exponential moving average (EMA) (purple) is an obstacle to the rise, but all of these obstacles have been overcome with the recent surge.
The Moving Average Convergence Divergence (MACD) indicator suggests that the bullish outlook for Dogecoin is sustainable. As long as the price of the memecoin remains in an uptrend above the neutral zone at the 0.00 level, it can continue to rise. Price action above the long-term descending trendline can be interpreted as a sign of further gains. Moreover, if the 21-day MA (red) crosses above the 100-day MA (blue) and forms a golden cross pattern, the price is expected to accelerate upward.
Investors should consider taking profits, especially considering that the relative strength index (RSI) on the four-hour chart remains above the 80 level. Such overbought conditions suggest the possibility of a correction. Any sign of the RSI falling below 70 and entering the neutral zone could pave the way for investors to buy on dips.
Dogecoin Analysis
Long-term investors in Dogecoin will likely continue to hold the meme coin in their portfolios until social media platform X (formerly known as Twitter) decides whether to integrate Dogecoin as a payment option to diversify its offerings.
Famous billionaire Elon Musk has a special affection for Dogecoin, sparking speculation that he will integrate Dogecoin into his X platform, where he aims to build an “app for everything.” This move could increase demand for the memecoin and spark a sharp rally.
