Dogecoin Price Analysis: Whales Drive Recovery with Potential to Surpass $0.2
Dogecoin Price Analysis: Amid the current market consolidation, the largest meme cryptocurrency by market cap Dogecoin has developed a local top at a $0.174 price level. A recent reversal from this resistance has tumbled the asset by 11% to seek support at the 38.2% Fibonacci retracement level at $0.156. With firm horizontal support and increased accumulation from large investors (Whale), the Dogecoin price prediction hints at a potential rebound in the near term.
Also Read: 3 Cat-themed Meme Coins To Watch Out For as dogwifhat and Dogecoin Clips
Key Support and Resistance Levels to Watch Amid Whale Activity
The Canine Meme cryptocurrency Dogecoin witnessed a slow and steady recovery in May. The positive reversal uplifted the asset from $0.12 to $0.175 high, registering a 45% growth.
The recovery trend also develops a higher low formation— an early sign of trend reversal as the market participants have started accumulating at dips. Currently, the DOGE price trades at $0.161, while the market cap holds at $23.3 billion.
With the Bitcoin consolidation, the DOGE price is wavering sideways seeking support at $0.156.
Moreover, a renowned trader, Alicharts, recently highlighted a significant development in the Dogecoin market. According to a tweet shared on June 4, 2024, Dogecoin whales have accumulated an additional 200 million DOGE since May 30.
#Dogecoin whales have bought an additional 200 million $DOGE since May 30! pic.twitter.com/gjeoGWMM4R
— Ali (@ali_charts) June 4, 2024
This large-scale acquisition indicates a growing interest and confidence among major investors in cryptocurrency. Historically, such accumulations by whales have often preceded price rallies, as their actions can influence market sentiment and liquidity
Amid the whale accumulation, the DOGE price rebounded from the $0.156 support with a bullish morning star candle pattern. A potential rebound could bolster this meme coin to lead an 8.5% upswing to challenge the $0.174 resistance.
A successful breakout will accelerate the buying momentum and aim for a potential target of $0.21, followed by $0.228.
Also Read: Dogecoin Price: 200M DOGE Accumulation Signals At Potential Rally Ahead
Technical Indicator
- Exponential Moving Average: The 50-day EMA slope wavering at $0.156 assists memecoin buyers with additional support to bolster the recovery trend.
- Relative Strength Index: The daily RSI slope wavering at 50% hints at a neutral market sentiment.
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