Sundog rallies 700%: What’s fueling the surge and can it sustain?

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  • The short-term bias was extremely bullish, potentially overextended.
  • A breach of the $0.33 level could lead to another 25% move upward.

As a seasoned researcher with over two decades of experience in financial markets, I have seen my fair share of bull runs and market corrections. The current surge in Sundog [SUNDOG] has been nothing short of remarkable. In my career, I’ve never witnessed a meme coin skyrocket by nearly 700% in just two weeks!

Over the last several days, there’s been significant growth for Sundog [SUNDOG]. Beginning from the 23rd of August (Friday), Sundog’s value has surged by approximately 84% at this moment and continues to rise. Additionally, the technical signals suggest a very optimistic outlook.

Starting from August 18th, the value of the meme coin has skyrocketed by almost 700%. A significant milestone occurred when it surpassed the previous high at $0.262, marking a crucial advancement for the token.

Sundog reaches the next Fibonacci extension level in the blink of an eye

Starting from August 21st, the price of SUDOG has been trapped below the $0.264 resistance barrier. It created a range (in pink), with its lowest point at $0.176. Over the last 24 hours, the meme coin’s bullish forces have been quite active.

As an analyst, I observed that the Relative Strength Index (RSI) on the 2-hour chart stood at 71, indicating potential overbought conditions. Yet, it’s crucial to note that this alone does not guarantee a price pullback. Interestingly, the Chaikin Money Flow (CMF) was also quite high at +0.47, suggesting strong buying pressure. This confluence of indicators might be signaling a potential trend continuation or further market movement, but it’s essential to confirm with additional analysis before making any definitive conclusions.

Furthermore, the token reached a point that corresponded to the 23.6% Fibonacci extension. This may act as a barrier for further price increase and potentially cause prices to decrease instead.

Potential for further gains despite overextended conditions

As a researcher, I noticed an extraordinary surge in open interest, indicating a significant increase in speculative activity. This spike, coupled with the price breaching beyond the upper range limits, underscores an incredibly robust bullish trend.

Realistic or not, here’s SUNDOG’s market cap in BTC’s terms

In simpler terms, the large values on the CMF and RSI suggested a possible peak, yet the force driving the newly popular cryptocurrency might still propel it to record heights.

Moving forward, potential future Fibonacci extension levels are found at approximately $0.418 and $0.5. If we manage to end the trading session above $0.329, it’s likely that these levels will be revisited again.

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2024-08-27 01:11