Dogecoin Price Bottom In as Analysts Expect Breakout to $1.16?
3 min read
Important knowledge
- The Doge Prize broke out of a downward channel and now deals with the resistance of $ 0.1750.
- Whale moved 100 m of dog into the private wallet, which indicates long -term bullish positioning.
- RSI divergence and higher lows indicate that Doge could visit 0.50 US dollars again in the coming weeks.
The Prize of Dogecoin (Doge) showed signs of relaxation after a week of sales and market uncertainty. After the Meme Münz Prize had slipped below the support zone of $ 0.1750 in May.
Analysts and ketch indicators begin to signal the formation of a local soil and the possibility of a strong bullish reversal.
Dowecoin Price rags write from the Schleischaften and Rettstels $ 0.1750
On the schedule, the Doge Prize broke out from a defined descending channel and ended a short-term bear trend that had loaded prices for several days.
The Breakout occurred close to USD 0.1720, a level that was characterized by a strong intraday resistance. After the breakout, the price for Dogecoin gathered over the level of $ 0.1750 and now consolidates just above this zone.
This breakout pattern was first identified by Trader Tarderrade, which pointed out the bullish structure over the one-hour period. The move was the first technical signal for Doge since its rejection of $ 0.182 at the end of April.
Source: Trader Tarderrade, X
According to the current support levels, $ 0.1685 and 0.16 USD 50 remain the central downward zones for observation. In the meantime, the overhead cost resistance is $ 0.1780, $ 0.1850 and the psychological level of $ 0.20. If these values are deleted, analysts suggest that a medium -term route could form $ 0.50 and beyond.
Long-term analysts refer to structural soil formation at the Dotecoin price
Additional bullish signals have emerged from long -term chart observers. According to the CEO of Investment, the Doge/Usdt weekly chart showed a clear low and a trend line again. The analyst split a diagram that specifies a projected outbreak that can extend up to USD 1.16 in the next main leg if the current setup records.
Source: CEO, X
In this view, the pseudonymous analyst astronomer stated that Doge Price might have come after the establishment of support of $ 0.165. As a Dogecoin price over 500%comparisons with October 2024, the analyst now emphasized a similar structure. The thesis is based on market cycles with a high time frame, whereby old coins usually find their depths shortly after Bitcoin.
Source: astronomer, X
The astronomer added that Spot -Holdings and defined risk zones near the current level make the Doge Prize an attractive asymmetrical opportunity. The relative strength index (RSI) in the 2-day table also shows a mild bullish divergence, which is often preceded by trend reversations in such macrostructures.
Wal activity spark -accumulation speculation
The recent on chain data continues to support the possibility of renewed accumulation. A large transaction with 100 million dogs worth around 17.5 million US dollars was moved to a private wallet at the beginning of this week. This transmission fell together with increased exchange drains, which are often interpreted as an optimistic signal when coins are deducted for long -term storage of platforms.
While some of the wallet groups continue to have distribution patterns, especially those who have 10 to 100 million dogs with larger participations with larger components, their behavior reverse. Arrivals with between 100 million and 1 billion doge have resumed net buying since April 8.
The number of active addresses in the system has not increased much recently. The daily activity corresponds to only 3.4% of the high brand from November 2023. The slow shopping activity in retail shows that the retail market still has challenges, while larger investors are driving these latest price increases.
Metrics show a divergence between cap and realized value
Between the beginning of April and May 6th, the market capitalization of Dotecoin rose from $ 21 to 26.4 billion. The realized upper limit, which measures the value of the coins according to its last moving price, easily fell from $ 21.5 billion to $ 21.3 billion.
In particular, this divergence implies that part of the recent increase in price is more due to speculative business than to strong on-chain basics. The rally is more likely to be captured by owners of convicers than the widespread demand for retail, since long -term owners have not significantly increased sales activity.
According to technical analysts, a strong outbreak will only occur if the Doge price remains over 0.1850 $ and reaches a level of $ 0.20. A successful trip over 0.1850 US dollars would signal a way to a technical repetition of 0.28 to 0.30 US dollars and increase the market of $ 0.50 and USD 1.16 if all conditions become optimistic.
