Dogecoin (DOGE) has dropped 1% in the last 24 hours, with a weekly chart showing a decline of 3.5%. Overall, a double bottom may form between April and July, with both lows slightly below $0.20. The key price level for this pattern is at $0.26. If Dogecoin (DOGE) breaks and holds above this price level, the pattern will be confirmed. According to chart prediction methods, if Dogecoin (DOGE) can effectively break this level, it may move towards $0.46.
Currently, the price of Dogecoin is $0.2312, having risen 40% over the past month, and is now in a consolidation phase. Large wallets have recently accumulated over 310 million Dogecoins after a brief sell-off, indicating that big buyers are returning to the market. This does not necessarily mean a big surge is imminent, but at least they feel there is potential. Let's see if this buying momentum can be sustained in the coming days.
Despite some adjustments, market activity remains relatively calm.
CoinGlass data shows that Dogecoin's daily trading volume has decreased by 32%, currently at $11.83 billion. The number of open contracts has dropped by 4% to $3.94 billion. Options trading volume has also fallen by 23%, with the number of open options contracts decreasing by over 50%.
Currently, the price is within a narrow fluctuation range, breaking above $0.26 may determine the future price trend. Its RSI indicator has dropped from 80 on Wednesday to 58, indicating that after being overbought, the sell-off has brought it into a neutral zone. This means we expect a slight depreciation of the currency pair over the weekend, as reflected by Dogecoin's approximately 3% decline overnight. However, this pullback is natural and lays a more solid foundation for Dogecoin's next upward move.
The technical chart shows that a descending wedge pattern formed between November and April, which is usually seen as a precursor to a bull market rally, predicting that the price of DOGE will reach $45 by the New Year, doubling from its current level.
The application of DOGE as a payment method is continuously expanding. Some Tesla merchandise now accepts DOGE payments, and PayPal and Revolut have also integrated DOGE transactions, further enhancing its practicality in the real world.
