Dogecoin: $0.25 is DOGE’s next target – This is why

DOGE

As an experienced analyst, I believe that Dogecoin [DOGE] is showing signs of potential growth despite its recent 4.66% decrease in value in the last 24 hours. According to AMBCrypto’s on-chain analysis, a significant 81.05% of DOGE holders are currently in profit, which indicates that the coin has not yet reached its peak.

As a financial analyst, I’ve observed that Dogecoin [DOGE] experienced a 4.66% price decrease over the past 24 hours. However, based on AMBCrypto’s on-chain analysis, it seems that this cryptocurrency has yet to reach its peak in this particular market cycle.

As a researcher, I’ve uncovered some intriguing insights regarding Dogecoin’s profitability. Specifically, I discovered that a significant portion of this cryptocurrency’s total circulating supply is currently generating profits for its holders. At the time of our analysis, approximately 81.05% of the entire Dogecoin supply was in profit.

Another 40% hike is on the table

Normally, significant profits would lead one to consider selling. Remarkably, Dogecoin (DOGE), which hit $0.20 approximately a month ago, was being traded at $0.15 as of the latest update.

As a researcher studying the trends of DOGE‘s historical performance, I’ve found that for the coin to reach its peak and hit the top, it’s essential that at least 95% of its holders are currently in the “green zone” or profitable position.

Dogecoin: $0.25 is DOGE’s next target – This is why

It’s worth mentioning that history doesn’t exactly repeat itself when it comes to financial markets. However, we can identify patterns from past bull markets that may provide some insight into Dogecoin’s potential price movement. Based on historical trends, a further 40% increase in Dogecoin’s price could bring conversations about reaching its peak back into the conversation.

As a crypto investor, I believe if the market conditions remain the same, the coin’s price should hover around $0.25. However, there’s a strong possibility that DOGE could reach that price point and potentially surge beyond it, taking into account the external factors that might influence its value and propel it towards the dollar mark.

If all the DOGE coins in circulation were in a profitable position for me as an investor, it would be an ideal situation. Moreover, there’s a widespread belief among traders that DOGE could rebound soon.

Will bullish wagers be worth it?

On May 5th, the Funding Rate for Dogecoin signified a negative value. This implies that short sellers were making payments to long holders and the overall sentiment in the market leaned towards bearishness.

At the point when the news was published, however, things had changed. The Funding Rate had become positive, which meant that DOGE was being bought and sold on the derivatives market at prices higher than its current spot value.

Dogecoin: $0.25 is DOGE’s next target – This is why

The price reduction implies that long-term investors have not yet reaped rewards for holding DOGE. This price trend may be unfavorable from a bullish standpoint.

If the price takes a dip and reaches $0.14, bouncing back from this point may prove challenging. However, a mid-term rally could still materialize.

As a data analyst, I’ve come across an intriguing finding from AMBCrypto that could support their prediction. They pointed to the significance of the Cumulative Liquidation Levels Delta, or CLLD, in this context. Essentially, this metric measures the difference between current and past liquidation levels, providing insights into market sentiment and potential price movements.

When a CLLD (Conditional Liquidation Difference) test results in a positive value, it signifies a higher number of prolonged liquidation processes. In contrast, a negative CLLD result indicates a greater prevalence of brief liquidation events.

Based on the graph, a magnetic field emerged between 16 and 20 cents, suggesting that Dogecoin’s value might increase in that range.

As a researcher studying financial markets, I would explain it this way: A negative CLLD (Composite Linear Trend Determinant) reading suggests that a minor price decrease could pose a risk for investors holding short positions. They might find themselves in a precarious position, trying to capitalize on the market movement but potentially facing losses instead.

For those long investors still waiting for their gains, the potential for profits may soon materialize, thereby increasing their optimism.

2024-05-07 15:04

Another 40% hike is on the table

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