Dogecoin (DOGE) is launching on Solana, further expanding its influence in the cryptocurrency ecosystem. This move comes as technical analysis indicates the price could break through $0.31, following a bullish chart pattern. This integration is supported by Wormhole's native token transfer (NTT) framework and utilizes zero-knowledge proofs.
Dogecoin integrated with Solana through Wormhole
Wormhole announced it will integrate Dogecoin (DOGE) into Solana using its native token transfer (NTT) framework. This upgrade allows Dogecoin (DOGE) to operate as a native token on Solana. The NTT technology enables seamless multi-chain transfers while maintaining control over token supply and contract upgrades.
This collaboration was carried out with the help of Psy and RISC Zero. These teams use zero-knowledge proofs (ZKP) to support secure and verifiable asset transfers across blockchains. Wormhole stated:
"Bringing DOGE to Solana combines two industry powers... We are excited that Wormhole is the infrastructure provider to make this moment a reality."
Wormhole claims to have facilitated over $11.5 billion in funds flowing into Solana. Reportedly, this is more than any other interoperability platform in the market. With this integration, DOGE joins an ecosystem that already hosts major assets and stablecoins across multiple chains.
DOGE price pattern shows bullish signals
Cryptocurrency analyst TraderTardigrade pointed out that the price chart of Dogecoin shows a cup and handle formation on the daily timeframe, which is seen as a bullish continuation pattern. The 'cup' part of this formation took months to form, creating a rounded bottom. This pattern typically appears after a period of price consolidation.
After the cup-shaped formation, a smaller descending channel known as the 'handle' was formed. This part indicates that the price experienced a brief decline before the breakout. The handle is relatively shallow, which may suggest increased buyer interest and reduced selling pressure.
The DOGE price recently broke through the resistance zone near $0.245. This area has served as a resistance level for several weeks. If the DOGE price continues to break through this resistance level with strong trading volume, the chart indicates that the DOGE price could rise to $0.355.
DOGE open interest surged by 11%
As of the time of writing, Dogecoin's trading price is $0.2418, with a market cap of $36.12 billion. In the past 24 hours, Dogecoin's trading volume reached $2.83 billion, with an increase of over 4%. Despite Grayscale Investments and 21Shares recently postponing the approval of the Dogecoin ETF, the strong rally of Dogecoin has not been affected.
Additionally, derivatives market activity also shows an increased interest in Dogecoin. Options trading volume grew by over 130%, reaching $349.57 million. The open interest value of Dogecoin futures is $2.97 billion, an increase of over 11%. This growth indicates that more traders are positioning themselves for potential price fluctuations.
Meanwhile, the total spot trading volume of Dogecoin across exchanges has decreased by 3.93%. This may indicate that traders are focusing more on derivatives, waiting for confirmation of a breakthrough at $0.245.
