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Due to the difficulty of maintaining the reversal above $60,000 USD, the cryptocurrency market is wavering in uncertainty. Fee management limits the growth of several major altcoins, but not Dogecoin. The dog-themed currency recently rebounded from the 61.8% Fibonacci retracement level and surged nearly 40% in four days, currently trading at $0.17 USD.
Analysis on a daily timeframe shows that the Dogecoin price adjustment resonates strictly between two converging trend lines, implying the formation of a triangle flag pattern. This chart setup often occurs within established upward trends as it indicates occasional buyer pullbacks to regain strength.
Midweek, there was a significant influx of funds into DOGE, bouncing from $0.122 USD to $0.177 USD. This upward movement may be influenced by the progress of Elon Musk's financial service, X Payments, which successfully expanded its operational footprint by obtaining currency transfer licenses in Illinois, New Mexico, and Oregon. The acquisition of these licenses has sparked new discussions about the potential inclusion of Dogecoin (DOGE) and other cryptocurrencies into the social network ecosystem.
The intraday gain in DOGE price is 11.6%, potentially challenging the upper trendline of the triangle flag pattern. Breaking this structure will signal a recovery rebound, providing adequate support for buyers.
A breakout rebound may drive the Dogecoin price up by 46% to $0.26 USD, with a potential increase of 48.6%.
According to the IntoTheBlock report, there are currently active Dogecoin whales in the market. In the past 30 days, the number of DOGE trades worth over $1 million USD has increased by over 600%. During this surge, the price of the currency also rose by over 15%. At the time of writing, DOGE's trading price has risen by over 14% to $0.1532 USD. The price surge has also led to increased trading volume, reaching $2.9 billion USD, a 20% increase compared to the previous day.
CoinGape previously reported that Coinbase has applied to the CFTC to list Dogecoin (DOGE) and other cryptocurrency futures on its market. It is worth noting that there has been controversy surrounding the prioritization of Dogecoin futures listing by cryptocurrency exchanges, especially among XRP enthusiasts.
Market acceptance of Dogecoin may be one of the factors driving the rise in cryptocurrency prices. According to Forbes, many businesses have adopted Dogecoin as a payment method because it reduces transaction fees and continues to be favored by Twitter CEO and billionaire Elon Musk. As the market is cyclical, Dogecoin may eventually experience another bull market breakthrough. This seems to be starting earlier than expected, possibly lasting until 2025. The true bull market will only begin in the following years unless catastrophic events occur and change the technical structure of the chart. |
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Post time 6-4-2024 09:00:21