Dogecoin reaches new all-time highs as of October 24, 2024. This analysis explores key technical indicators, market trends, and potential future movements for the cryptocurrency. Dive into the data driving this surge and what it means for investors.
Situation of Dogecoin (DOGE)
Dogecoin generated buyer interest after plunging to $0.08, and that desire has persisted. In fact, a period of consolidation followed, resulting in a double bottom for the cryptocurrency. Eventually, the latter’s neckline was broken, pushing Dogecoin’s price closer to $0.13. After that, the DOGE saw a sharp decline until creating new support at $0.10. The latter is at the same level as a noteworthy value area, which is fascinating. Dogecoin had a significant recovery as the cryptocurrency market was revised upward. This increase allowed the crypto to surpass its previous peak as well as its first pivot resistance. Recently, Dogecoin reached the resistance of $0.15, situated at the same level as the annual VWAP.
The DOGE price is currently trading just below $0.14 at the time this paragraph was published. As a result, the price of the cryptocurrency has somewhat dropped. This raises concerns, but it doesn’t call into doubt the medium- and long-term trajectory. The DOGE’s position above its 50-, 100-, and 200-day moving averages supports these statements. However, in order for the daily moving averages to cross upward and support this theory, Dogecoin’s price will need to keep up its momentum. The price and oscillators of the cryptocurrency both indicate a resurgence in its dynamics.
In partnership with Elie FT, a fervent cryptocurrency trader and investor, the current technical analysis was carried out. A trainer at Family Trading, a group of thousands of independent traders that has been in operation since 2017, is present today. In a friendly and professional setting, you can find live sessions, instructional materials, and mutual support regarding financial markets.
Focus on Dogecoin Derivatives (DOGE/USDT)
The open interest in DOGE/USDT perpetual contracts has been revised upward, as has the underlying. This undoubtedly illustrates speculators’ interest in cryptocurrency. Although this phenomena is coupled by a positive financing rate, indicating a strong purchasing force for Dogecoin perpetuals, it is worth noting that the CVD was just lowered downwards. This displays recent dominating sell orders in the market, indicating pessimism about the cryptocurrency’s short-term outlook. In terms of liquidations, it is clear that they are not very important, however the most recent ones have mostly been purchasers, indicating a probable buyer surrender.
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The heatmap of liquidations for DOGE/USDT futures shows that the Dogecoin price has spurred selling activity, resulting in a decrease as it approaches the liquidation zone, which is slightly below $0.15. Currently, the cryptocurrency is slightly above a liquidation zone at $0.13. The different liquidation zones are listed here, down to $0.114. Even lower, there are liquidation zones below $0.10, albeit they are far less substantial. The price approach to these levels may result in a significant triggering of orders, raising the danger of further volatility for the cryptocurrency. These zones consequently serve as important sites of interest for investors.
Forecast for Dogecoin Price (DOGE)
- If the DOGE price maintains above $0.13, we can expect a positive continuation towards $0.15. If this movement is verified, the next resistance level to monitor might be above $0.16 and reach $0.175. Beyond that, an aim of $0.20 would be worth considering, indicating a more than 45% rise.
- If the DOGE price fails to remain above $0.13, it might go back to $0.12. If the bearish trend continues, the next support level to monitor is around $0.11. Even lower, we may aim for the $0.10 support zone, implying a potential 27% loss.
Conclusion
Despite a recent modest fall, Dogecoin is showing indications of recovery following a consolidation and resurgence. The underlying trend remains positive in the medium and long term, aided by present market conditions. Maintaining momentum is critical for confirming this trajectory. Thus, it will be critical to constantly watch price responses at crucial levels in order to confirm or alter present projections. Finally, keep in mind that this research is entirely based on technical criteria, and that cryptocurrency prices might fluctuate fast due to other, more fundamental issues.
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