- Dogecoin’s bullish momentum continues with prices above the 9-day SMA, signaling potential further gains.
- Despite bullish trends, decreasing whale transactions and active addresses showed a need for higher user engagement.
As a seasoned researcher with extensive experience in analyzing cryptocurrency markets, I have closely monitored Dogecoin’s [DOGE] price trends and market indicators. The current bullish momentum, with prices above the 9-day Simple Moving Average (SMA), is an encouraging sign for potential further gains. However, my analysis goes beyond just the numbers.
At the point of composition, Dogecoin [DOGE] was priced at $0.125656, marking a 2.73% rise over the past 24 hours. The cryptocurrency’s robust trading volume amounted to $812,310,432 within the same timeframe.
At present, Dogecoin occupies the ninth position on CoinMarketCap, boasting a market capitalization of $18.24 billion according to the latest data from the platform.
Although Dogecoin has reported encouraging numbers so far this year, it has yet to surpass the $0.2 threshold. The market continues to exhibit instability, presenting the risk of significant gains as well as possible losses.
Is DOGE following historical patterns?
Based on historical trends, Dogecoin’s price behavior follows a pattern linked to its halving events. After each halving, Dogecoin has typically seen notable price increases.
In the beginning of 2017 and towards the end of 2020, the price experienced significant increases after extended phases of stability and price spikes above downward trendlines.
MikybullCrypto, an analyst, pointed out a possible resemblance to a previous pattern and forecasted a potential breakthrough approximately during the upcoming bitcoin halving event.
MikybullCrypto tweeted,
“A post-halving wave of rally brewing. Get ready!”
Technical analysis
At present, DOGE has surpassed its 9-day Simple Moving Average (SMA), signaling a brief uptrend based on recent market data. Prior to this development, there was a prolonged phase of price stability around the $0.100000 mark during late June.
The MACD indicator lent credence to this perspective with its findings. The MACD line surpassed the signal line in this instance, resulting in a bullish signaling event.
At the time of composition, the histogram indicated a positive trend, implying an increase in purchasing activity.
Currently, the Relative Strength Index (RSI) stands at 55.52 – this is higher than the neutral value of 50, yet it falls short of the overbought level of 70.
Moderate bullish momentum was evident, suggesting a continued uptrend without an imminent reversal caused by the market being overbought.
The rising RSI trend indicates growing buying demand, potentially causing prices to climb higher if this trend persists.
Decline in whale activity
As a crypto investor, I’ve noticed a concerning trend with Dogecoin (DOGE). Although the market sentiment is currently bullish, there have been signs of decreased whale activity and user engagement. This means that large investors or “whales” have been selling or transferring smaller amounts of DOGE than usual, while the number of active users on the platform has also been dwindling. These indicators could potentially signal a weakening demand for DOGE and may impact its price in the near term.
At present, there are only 49 whale-sized transactions, which is over $100K each, taking place on the network – a figure reflecting the general downturn in network activity.
At present, there are approximately 42,100 active addresses on the network, representing a decrease from previous numbers. Additionally, the number of transactions has decreased to around 127,000. This data suggests a decrease in user engagement and network activity.
Based on its latest developments and technical signals, Dogecoin may be poised for additional growth.
The decrease in the number of active addresses and large transactions from “whales” raises concerns about the importance of user participation to maintain the bullish market momentum.
Read More
- Top gainers and losers
- JASMY PREDICTION. JASMY cryptocurrency
- LDO PREDICTION. LDO cryptocurrency
- DOP PREDICTION. DOP cryptocurrency
- SILLY PREDICTION. SILLY cryptocurrency
- LUNA PREDICTION. LUNA cryptocurrency
- KAI PREDICTION. KAI cryptocurrency
- ADA PREDICTION. ADA cryptocurrency
- CEL PREDICTION. CEL cryptocurrency
- PRE PREDICTION. PRE cryptocurrency
2024-07-18 01:12