- Dogecoin has broken through an important area of resistance in the past few hours.
- As long as the price stays above $ 0.26, the bulls will have the upper hand.
- Another purchase pressure can push DOGE to $ 0.43.
Dogecoin appears ready to continue its uptrend. Both technical and on-chain indicators suggest that DOGE could enter a new bull run in the short term.
Dogecoin is ready to explode
After a 5 month consolidation phase, DOGE appears to be breaking out.
Since the end of April, the tenth largest cryptocurrency by market capitalization has been forming a descending triangle on its daily chart. When DOGE posted a series of lower highs, the $ 0.17 level acted as support.
The recent surge in buying pressure has pushed DOGE above the triangle’s resistance line, which can be seen as a reversal of the uptrend. If DOGE can close the daily candle above $ 0.26, it will likely rise 78% to hit $ 0.43.
Such an impressive upward target is identified by connecting the height of the triangle to the breakout point.
Daily DOGE / USDT Chart | Source: TradingView
Whale is back
The number of large transactions on the network (that is, those valued in excess of $ 100,000) has increased dramatically recently. This suggests that institutions or whales are starting to position themselves for a new bull run.
Around 2,200 large transactions are currently being carried out on the Dogecoin network, an increase of 100% since September 28th.
If this metric starts to make a series of higher highs, odds are for the bulls and DOGE could see a strong rally.
The source: IntoTheBlock
It should be noted that DOGE will need to close the daily candle above $ 0.26 to confirm the bullish outlook. Otherwise, the price could crash as strong support levels are found at $ 0.20 and $ 0.17, which are far from the current price.
You can see the DOGE prices here.
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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
According to crypto briefing