Dogecoin Rebounds To $0.10, But 'Breaking $0.143 Will Be Key To Creating A New Bullish Structure'

Author: Khyathi Dalal | August 07, 2024 08:12am

Dogecoin (CRYPTO: DOGE) maintained its upward momentum to push above $0.10, prompting traders to call for further bullish price action.

What Happened: Since its recent bottom, the meme-inspired cryptocurrency has already seen a 15% increase, suggesting a possible trend reversal.

Crypto analyst Crypto Daily Trade Signals expressed optimism about DOGE’s prospects, stating, “Expect massive gains once we break $0.10 cents.” This sentiment reflects growing anticipation among DOGE supporters for a potential breakout.

$DOGE is looking stronger and coming up from Key Support levels. $0.10 Is a key area for us now. Since the bottom DOGE is up about 15%.

Expect massive gains once we break $0.10 cents pic.twitter.com/Hrk9QwXuAx

— Crypto Daily Trade Signals (@cryptodailyTS) August 7, 2024

Despite the recent market-wide downturn, Dogecoin has demonstrated resilience. The cryptocurrency managed to close its 3-day candle above the 200-day Simple Moving Average (SMA), a technical indicator often used to gauge long-term trends. This performance suggests that DOGE may be positioning itself for a recovery.

However, analysts caution that DOGE still faces challenges. According to pseudonymous trader Kevin, the cryptocurrency remains in a downtrend and needs to overcome several hurdles before a bullish trend can be confirmed. A key level to watch is $0.143, which, if breached, could signal the formation of a new bullish structure.

Also Read: Dogecoin Inches Closer To Psychological $0.10 Mark: ‘Should Be The Bottom,’ Trader Thinks

Why It Matters: IntoTheBlock data shows large transaction volume increased by 31.4% and daily active addresses dropped 12.7%. Exchange netflows decreased by 143.1%. Currently, 68% of Dogecoin holders are in profit.

Coinglass data shows DOGE liquidations at the lowest level since July 26. The total network fees increased from 20,340 DOGE to 28,470 DOGE, reflecting rising demand for network transactions.

What’s Next: The influence of meme coins is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next:

• Will Dogecoin, Shiba Inu, Pepe Continue The ‘Memecoin Supercycle’ Despite The Crypto Crash? ‘Just The Tip Of The Iceberg,’ Trader Thinks

Image: Shutterstock

Posted In: $DOGE