Dogecoin Price Expected to Soar by 74% with a Surge in Addresses to 6.56 Million
Dogecoin has been trading sideways for the past week, leading to uncertainty among traders regarding whether to focus on long or short positions. Several factors, including the US CPI report, on-chain data, and Bitcoin price volatility, have contributed to this uncertainty.
Despite recent short-term gains, Dogecoin’s price is still down 14.2% over the past month, presenting challenges for bullish investors. However, there has been a 20.1% increase in the total number of Dogecoin addresses with a balance over the last eight months, indicating growing adoption and investor confidence.
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Market participation is on the rise, with a 3.35% increase in open interest and a 60% surge in options volume, potentially reflecting accumulating bullish bets and increased derivative activity as per CoinGlass data. However, a 47% jump in options open interest suggests growing volatility expectations, indicating the potential for significant price swings.
From a technical analysis perspective, as long as Dogecoin’s price remains above the $0.1 support level, the outlook remains bullish. Traders are eyeing a larger price increase if DOGE can break through the $0.11 resistance level. A breakout above this level could signal a potential 74% bullish reversal, with a target price of $0.2.
However, if the $0.1 support level is broken, it could lead to a shift in sentiment from bullish to bearish, potentially triggering a sell-off and driving the price down to $0.08 and $0.056 levels. Traders will be closely monitoring these key support and resistance levels to make informed decisions.
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Dr. Olajide Samuel juggles the demands of medical studies with a passion for cryptocurrency. A seasoned blogger, Olajide shares his vast global knowledge of the crypto space, offering insights to enthusiasts. Despite his busy schedule, his commitment to crypto remains strong, and he actively seeks ways to contribute to its future.
